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Income Taxes (Tables) | 12 Months Ended
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Dec. 31, 2020
Income Tax Disclosure [Abstract] |
Schedule of Components of Income Tax Provision | Income tax provision (benefit) applicable to continuing operations consists of the following:
| Year ended December 31,
(in thousands) | 2020 |  | 2019 |  | 2018
Current: |  |  |  |  |
Federal | $ | (42,718) |  |  | $ | 1,079 |  |  | $ | (549) |
State and local | (748) |  |  | 1,215 |  |  | 323 |
Foreign | 7,133 |  |  | 4,361 |  |  | 1,138 |
| (36,333) |  |  | 6,655 |  |  | 912 |
Deferred: |  |  |  |  |
Federal | 29,158 |  |  | 4,409 |  |  | 10,073 |
State and local | 1,127 |  |  | 1,925 |  |  | 578 |
Foreign | (4,211) |  |  | 62 |  |  | 367 |
| 26,074 |  |  | 6,396 |  |  | 11,018 |
Total: |  |  |  |  |
Federal | (13,560) |  |  | 5,488 |  |  | 9,525 |
State and local | 379 |  |  | 3,140 |  |  | 901 |
Foreign | 2,922 |  |  | 4,423 |  |  | 1,505 |
| $ | (10,259) |  |  | $ | 13,051 |  |  | $ | 11,931 |
Components of Income Before Income Taxes | Income (loss) before income taxes from continuing operations consists of the following:
| Year ended December 31,
(in thousands) | 2020 |  | 2019 |  | 2018
U.S. | $ | (38,419) |  |  | $ | 18,982 |  |  | $ | 46,678 |
Foreign | 13,945 |  |  | 9,129 |  |  | 6,478 |
| $ | (24,474) |  |  | $ | 28,111 |  |  | $ | 53,156 |
Schedule of Effective Tax Rate Reconciliation | A reconciliation from the statutory U.S. federal tax rate to the effective tax rate follows:
| Year ended December 31,
| 2020 |  | 2019 |  | 2018
Statutory U.S. federal tax rate | 21.0 | % |  | 21.0 | % |  | 21.0 | %
Increase (decrease) in rate resulting from: |  |  |  |  |
State and local income taxes, net of related federal taxes | 4.6 |  |  | 7.3 |  |  | 3.4 |
U.S. tax rate change and other tax law impacts (a) | 60.2 |  |  | 2.1 |  |  | (1.5) |
Effect of noncontrolling interest | (18.8) |  |  | 2.4 |  |  | 0.1 |
Derivative instruments and hedging activities | (13.0) |  |  | — |  |  | — |
Income taxes on foreign earnings | (6.8) |  |  | (0.6) |  |  | (1.5) |
Nondeductible compensation | (6.1) |  |  | 4.6 |  |  | 1.5 |
Release (accrual) of unrecognized tax benefits | 2.7 |  |  | 3.9 |  |  | (0.1) |
Tax effect of GILTI | — |  |  | 0.4 |  |  | 1.4 |
Research and development and other tax credits | 1.4 |  |  | (23.2) |  |  | (3.4) |
Equity method investments | (0.1) |  |  | 5.7 |  |  | 1.1 |
Acquisition related permanent item | — |  |  | 24.0 |  |  | — |
Other, net | (3.2) |  |  | (1.2) |  |  | 0.5 |
Effective tax rate | 41.9 | % |  | 46.4 | % |  | 22.5 | %
(a) Reflects the impact of the CARES Act which provided a financial statement benefit of $14.8 million.
Schedule of Deferred Tax Liabilities and Assets | Significant components of the Company's deferred tax liabilities and assets are as follows:
| December 31,
(in thousands) | 2020 |  | 2019
Deferred tax liabilities: |  |  |
Property, plant and equipment and Rail assets leased to others | $ | (203,432) |  |  | $ | (149,317) |
Identifiable intangibles | (9,677) |  |  | (13,736) |
Investments | (50,244) |  |  | (41,354) |
Other | (7,878) |  |  | (10,228) |
| (271,231) |  |  | (214,635) |
Deferred tax assets: |  |  |
Employee benefits | 20,910 |  |  | 20,583 |
Accounts and notes receivable | 4,207 |  |  | 3,577 |
Inventory | 1,905 |  |  | 2,437 |
Federal income tax credits | 25,163 |  |  | 12,005 |
Deferred interest (b) | 359 |  |  | 2,385 |
Net operating loss carryforwards | 25,427 |  |  | 5,259 |
Derivatives instruments | 5,949 |  |  | 3,123 |
Lease liability | 9,068 |  |  | 11,072 |
Other | 9,548 |  |  | 8,970 |
Total deferred tax assets | 102,536 |  |  | 69,411 |
less: Valuation allowance | 1,452 |  |  | 931 |
| 101,084 |  |  | 68,480 |
Net deferred tax liabilities | $ | (170,147) |  |  | $ | (146,155) |
(b) The deferred interest tax asset represents disallowed interest deductions under IRC Section 163(j) (Limitation on Deduction for interest on Certain Indebtedness) for the current year. The disallowed interest is able to be carried forward indefinitely and utilized in future years pursuant to IRC Section 163(j)).
Schedule of Unrecognized Tax Benefits Excluding Interest and Penalties | A reconciliation of theses unrecognized tax benefits is as follows:
(in thousands) |
Balance at January 1, 2018 | $ | 787 |
Reductions as a result of a lapse in statute of limitations | (169) |
Balance at December 31, 2018 | 618 |
Additions based on tax positions related to the current year | 1,766 |
Additions based on tax positions related to prior years | 20,649 |
Reductions based on tax positions related to prior years | (155) |
Reductions as a result of a lapse in statute of limitations | (463) |
Balance at December 31, 2019 | 22,415 |
Additions based on tax positions related to the current year | 11,598 |
Additions based on tax positions related to prior years | 12,013 |
Reductions based on tax positions related to prior years | (1,566) |
Reductions as a result of a lapse in statute of limitations | (59) |
Balance at December 31, 2020 | $ | 44,401 |

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- Definition Tabular disclosure of the components of income tax expense attributable to continuing operations for each year presented including, but not limited to: current tax expense (benefit), deferred tax expense (benefit), investment tax credits, government grants, the benefits of operating loss carryforwards, tax expense that results from allocating certain tax benefits either directly to contributed capital or to reduce goodwill or other noncurrent intangible assets of an acquired entity, adjustments of a deferred tax liability or asset for enacted changes in tax laws or rates or a change in the tax status of the entity, and adjustments of the beginning-of-the-year balances of a valuation allowance because of a change in circumstances that causes a change in judgment about the realizability of the related deferred tax asset in future years. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32639-109319 + Details
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- Definition Tabular disclosure for tax positions taken in the tax returns filed or to be filed for which it is more likely than not that the tax position will not be sustained upon examination by taxing authorities and other income tax contingencies. Includes, but is not limited to, interest and penalties, reconciliation of unrecognized tax benefits, unrecognized tax benefits that would affect the effective tax rate, tax years that remain subject to examination by tax jurisdictions, and information about positions for which it is reasonably possible that amounts unrecognized will significantly change within 12 months. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15A -URI http://asc.fasb.org/extlink&oid=84230637&loc=SL6600010-109319 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15 -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32718-109319 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 19 -URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32840-109319 + Details
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