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Income Taxes
 6 Months Ended
Jun. 30, 2023
Income Tax Disclosure [Abstract]  
Income Taxes

Note 18. Income Taxes

The effective tax rate was 30.0% for the three months ended June 30, 2023 and a negative 86.2% for the six months ended June 30, 2023. The effective tax rate was 14.3% for the three months ended June 30, 2022 and a negative 8.0% for the six months ended June 30, 2022.

The income tax provision was computed based on our estimated annualized effective tax rate and the full-year forecasted income or loss plus the tax impact of unusual, infrequent, or nonrecurring significant items during the period. The rate was higher than the 21% federal rate for the three months ended June 30, 2023 as we did not recognize the tax benefits on losses recognized in the United States, United Kingdom, and other European Countries while recognizing a tax expense primarily in Canada and Iceland. The effective tax rate was lower for the six months ended June 30, 2023 and the three and six months ended June 30, 2022 due the amount of change in pre-tax income and loss recognized between those jurisdictions where we recognize a tax expense or benefit and those jurisdictions where there is a valuation allowance. The six month effective tax rate ended on June 30, 2023 was further impacted by the release of $2.1 million of our valuation allowance during the first quarter on the deferred tax assets recorded on certain US separate state filings.

We paid net cash for income taxes of $4.6 million during the three months ended June 30, 2023 and $12.7 million during the six months ended June 30, 2023, of which $9.6 million of the $12.7 million was paid to Canadian tax authorities. We received net cash refunds of $0.6 million during the three months ended June 30, 2022 and paid net cash for income taxes of $0.8 million during the six months ended June 30, 2022.