XML 43 R23.htm IDEA: XBRL DOCUMENT
v3.24.0.1

INCOME TAX | 12 Months Ended
--- | ---
Dec. 31, 2023
Income Tax Disclosure [Abstract] |
INCOME TAX | INCOME TAX The following table summarizes our U.S. and foreign components of income from continuing operations before income taxes (in millions):
| Year Ended December 31,
| 2023 |  | 2022 |  | 2021
United States | $ | 91.6 |  |  | $ | 104.0 |  |  | $ | 84.5 |
Foreign | 3.6 |  |  | (0.2) |  |  | 3.1 |
Total | $ | 95.2 |  |  | $ | 103.8 |  |  | $ | 87.6 |
The following table summarizes the (benefit) provision for income taxes from continuing operations (in millions):
| Year Ended December 31,
| 2023 |  | 2022 |  | 2021
Current: |  |  |  |  |
Federal | $ | 18.1 |  |  | $ | 21.2 |  |  | $ | 16.8 |
State | 4.2 |  |  | 4.3 |  |  | 3.8 |
Foreign | 0.2 |  |  | 0.2 |  |  | 0.1 |
Total current | $ | 22.5 |  |  | $ | 25.7 |  |  | $ | 20.7 |
Deferred: |  |  |  |  |
Federal | $ | 0.9 |  |  | $ | 0.0 |  |  | $ | (0.6) |
State | 0.2 |  |  | 0.1 |  |  | (0.2) |
Foreign | 0.9 |  |  | (0.1) |  |  | (2.4) |
Total deferred | $ | 2.0 |  |  | $ | 0.0 |  |  | $ | (3.2) |
Total tax provision | $ | 24.5 |  |  | $ | 25.7 |  |  | $ | 17.5 |
Tax expense from discontinued operations was $0.0 million, $0.2 million and $10.7 million for the years ended December 31, 2023, 2022 and 2021, respectively. Income taxes are accrued and paid by each foreign entity in accordance with applicable local regulations. A reconciliation of the difference between the income tax expense and the computed income tax expense from continuing operations based on the Federal statutory corporate rate is as follows (in millions):
| Year Ended December 31,
| 2023 |  | 2022 |  | 2021
Income tax at Federal statutory rate | $ | 20.0 |  |  | 21.0 | % |  | $ | 21.8 |  |  | 21.0 | % |  | $ | 18.4 |  |  | 21.0 | %
State and local income taxes, net of federal tax benefit | 3.5 |  |  | 3.7 | % |  | 3.7 |  |  | 3.7 | % |  | 2.9 |  |  | 3.3 | %
Reversal of valuation allowances | 0.0 |  |  | 0.0 | % |  | 0.0 |  |  | 0.0 | % |  | (3.4) |  |  | (3.8) | %
Stock based compensation | (0.1) |  |  | (0.1) | % |  | 0.0 |  |  | 0.0 | % |  | (0.8) |  |  | (0.9) | %
Non-deductible items | 0.5 |  |  | 0.5 | % |  | 0.7 |  |  | 0.6 | % |  | 0.5 |  |  | 0.5 | %
Other items, net | 0.6 |  |  | 0.6 | % |  | (0.5) |  |  | (0.5) | % |  | (0.1) |  |  | (0.1) | %
Income tax | $ | 24.5 |  |  | 25.7 | % |  | $ | 25.7 |  |  | 24.8 | % |  | $ | 17.5 |  |  | 20.0 | %
The deferred tax assets and liabilities are comprised of the following (in millions):
| December 31,
| 2023 |  | 2022
Assets: |  |  |
Accrued expenses and other liabilities | $ | 1.9 |  |  | $ | 1.6 |
Inventory | 2.2 |  |  | 2.9 |
Operating lease obligations | 23.6 |  |  | 25.3 |
Intangible & other | 1.9 |  |  | 0.4 |
Net operating loss and credit carryforwards | 6.3 |  |  | 8.1 |
Valuation allowances | (5.2) |  |  | (5.8) |
Total deferred tax assets | $ | 30.7 |  |  | $ | 32.5 |
Liabilities: |  |  |
Operating lease right-of-use assets | $ | 21.0 |  |  | $ | 22.6 |
Other | 1.9 |  |  | 0.1 |
Total deferred tax liabilities | $ | 22.9 |  |  | $ | 22.7 |
The following table summarizes the changes in valuation allowance (in millions):
|  | Balance at Beginning of Period |  | Benefit Recognized in Expense |  | Write-offs |  | Other |  | Balance at End of Period
2023 |  | $ | (5.8) |  |  | $ | 0.0 |  |  | $ | 0.5 |  |  | $ | 0.1 |  |  | $ | (5.2) |
2022 |  | $ | (6.1) |  |  | $ | 0.0 |  |  | $ | 0.3 |  |  | $ | 0.0 |  |  | $ | (5.8) |
During 2023 the Company utilized approximately $4.1 million in foreign and state NOL carryforwards to reduce the current year tax expense. As of December 31, 2023, the Company has foreign NOLs of $5.2 million which expire through 2037 and foreign tax credit carryforwards of $0.4 million expiring in years through 2028. The Company has recorded valuation allowances of approximately $5.2 million, consisting of valuations against foreign NOLs of $4.8 million and $0.4 million against foreign tax carryforwards. Valuation allowances have been recorded against these assets as the Company believes it is more likely than not that these NOLs, temporary differences and foreign tax credits will not be utilized in the near future. The Company has not provided for federal income taxes applicable to the undistributed earnings of its foreign subsidiaries, primarily in India and Canada, of approximately $2.6 million as of December 31, 2023, since these earnings are considered permanently reinvested in the subsidiaries. If the Company ceases to be permanently reinvested in its foreign subsidiaries, the Company may be subject to foreign withholding and other taxes on undistributed earnings and may need to record a deferred tax liability for any outside basis difference in its investments in its foreign subsidiaries. Under the TCJA each U.S. shareholder of a controlled foreign corporation ("CFC") must include in its gross taxable income in any tax year the aggregate net GILTI, or net income, of its CFCs. In 2023 the Company has included in taxable income the net income of its subsidiaries in Canada and India. The Company has elected to treat GILTI expense as a period cost when incurred. The Company is routinely audited by federal, state and foreign tax authorities with respect to its income taxes. The Company regularly reviews and evaluates the likelihood of audit assessments. The Company’s federal income tax returns have been audited through 2016. The Company has not signed any consent to extend the statute of limitations for any subsequent years. The Company’s significant state tax returns have been audited through 2016. The Company considers its significant tax jurisdictions in foreign locations to be Canada and India. As of December 31, 2023, the Company had no uncertain tax positions. Interest and penalties, if any, are recorded in income tax expense. There were no accrued interest or penalty charges related to unrecognized tax benefits recorded in income tax expense in 2023, 2022 or 2021.

X
- References No definition available. + Details
Name: | us-gaap_IncomeTaxDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 946 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 13 -Publisher FASB -URI https://asc.fasb.org//1943274/2147480990/946-20-50-13 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 235 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(h)(2)) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480678/235-10-S99-1 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//740/tableOfContent Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 14 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-14 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-21 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 270 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482526/740-270-50-1 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 17 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-17 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SAB TOPIC 6.I.5.Q1) -Publisher FASB -URI https://asc.fasb.org//1943274/2147479360/740-10-S99-1 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 11.C) -Publisher FASB -URI https://asc.fasb.org//1943274/2147479360/740-10-S99-2 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 30 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482603/740-30-50-2 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration