XML 39 R29.htm IDEA: XBRL DOCUMENT
v3.8.0.1

Income Taxes | 3 Months Ended
--- | ---
Mar. 31, 2018
Income Tax Disclosure [Abstract] |
Income Taxes | Income Taxes For the three months ended March 31, 2018 and March 31, 2017, the Company qualified to be taxed as a REIT under the Internal Revenue Code for U.S. federal income tax purposes. As long as the Company qualifies as a REIT, the Company generally will not be subject to U.S. federal income taxes on its taxable income to the extent it annually distributes at least 100% of its taxable income to stockholders and does not engage in prohibited transactions. Certain activities the Company performs may produce income that will not be qualifying income for REIT purposes. The Company has designated its TRSs to engage in these activities. The tables below reflect the taxes accrued at the TRS level and the tax attributes included in the consolidated financial statements. The income tax provision for the three months ended March 31, 2018 and March 31, 2017 is comprised of the following components (dollar amounts in thousands):
| Three Months Ended March 31,
| 2018 |  | 2017
Current income tax expense | $ | — |  |  | $ | 1,216 |
Deferred income tax (benefit) expense | (79 | ) |  | 21 |
Total provision | $ | (79 | ) |  | $ | 1,237 |
Deferred Tax Assets and Liabilities The major sources of temporary differences included in the deferred tax assets and their deferred tax effect as of March 31, 2018 and December 31, 2017 are as follows (dollar amounts in thousands):
| March 31, 2018 |  | December 31, 2017
Deferred tax assets |  |  |
Net operating loss carryforward | $ | 1,351 |  |  | $ | 295 |
Net capital loss carryforward | — |  |  | — |
GAAP/Tax basis differences | 2,284 |  |  | 2,237 |
Total deferred tax assets (1) | 3,635 |  |  | 2,532 |
Deferred tax liabilities |  |  |
Deferred tax liabilities | 148 |  |  | 144 |
Total deferred tax liabilities (2) | 148 |  |  | 144 |
Valuation allowance (1) | (3,201 | ) |  | (2,182 | )
Total net deferred tax asset | $ | 286 |  |  | $ | 206 |
(1) | Included in receivables and other assets in the accompanying condensed consolidated balance sheets.
(2) | Included in accrued expenses and other liabilities in the accompanying condensed consolidated balance sheets.
As of March 31, 2018, the Company, through wholly owned TRSs, had incurred net operating losses in the aggregate amount of approximately $4.0 million. The Company’s carryforward net operating losses can be carried forward indefinitely until they are offset by future taxable income. At March 31, 2018, the Company has recorded a valuation allowance against certain deferred tax assets as management does not believe that it is more likely than not that these deferred tax assets will be realized. The Company files income tax returns with the U.S. federal government and various state and local jurisdictions. The Company's federal, state and city income tax returns are subject to examination by the Internal Revenue Service and related tax authorities generally for three years after they were filed. The Company has assessed its tax positions for all open years and concluded that there are no material uncertainties to be recognized. In addition, based on the Company’s evaluation, the Company has concluded that there are no significant uncertain tax positions requiring recognition in the Company’s financial statements. On December 22, 2017, H.R.1, informally known as the Tax Cuts and Jobs Act (the “TCJA”) was signed into law. The TCJA makes major changes to the Internal Revenue Code, including several provisions of the Internal Revenue Code that may affect the taxation of real estate investment trusts and holders of their securities. The most significant of these changes, among other things, include lowering U.S. corporate income tax rates, net operating loss utilization rules, limitation on the deduction of business interest, and income recognition rules. We have recognized the tax effects of the TCJA in the three months ended March 31, 2018 and the year ended December 31, 2017 through the measurement of deferred tax assets at the reduced corporate tax rate. We will continue to analyze and monitor the application of TCJA to our business and continue to assess our provision for income taxes as future guidance is issued.

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/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -URI http://asc.fasb.org/topic&trid=2144680 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration