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INCOME TAXES (Tables) | 12 Months Ended
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Dec. 31, 2022
Income Tax Disclosure [Abstract] |
Schedule of income before income taxes | For financial reporting purposes, income (loss) from continuing operations before income taxes includes the following components (in thousands):
| Years ended December 31,
| 2022 |  | 2021 |  | 2020
United States income (loss) | $ | (35,272) |  |  | $ | 121,180 |  |  | $ | 95,115 |
Foreign income | 1,420 |  |  | 1,836 |  |  | 1,375 |
Total income (loss) from continuing operations before income taxes | $ | (33,852) |  |  | $ | 123,016 |  |  | $ | 96,490 |
Schedule of provision (benefit) for income taxes | The provision (benefit) for income taxes for 2022, 2021 and 2020 consists of the following (in thousands):
| Years ended December 31,
| 2022 |  | 2021 |  | 2020
Current: |  |  |  |  |
Federal | $ | 802 |  |  | $ | 532 |  |  | $ | — |
State | 1,874 |  |  | 4,344 |  |  | 1,316 |
Foreign | 112 |  |  | 183 |  |  | 68 |
Total current | 2,788 |  |  | 5,059 |  |  | 1,384 |
Deferred: |  |  |  |  |
Federal | (1,275) |  |  | (49,045) |  |  | — |
State | (50) |  |  | (4,763) |  |  | — |
Foreign | (79) |  |  | (26) |  |  | (21) |
Total deferred | (1,404) |  |  | (53,834) |  |  | (21) |
Total provision (benefit) for income taxes | $ | 1,384 |  |  | $ | (48,775) |  |  | $ | 1,363 |
Schedule of difference in income tax provision from amount computed by applying U.S. federal income tax rate of 35% to loss before income taxes | The provision (benefit) for income taxes for 2022, 2021 and 2020 differ from the amounts computed by applying the U.S. federal income tax rate of 21% to income (loss) before income taxes for the following reasons (in thousands):
| Year ended December 31,
| 2022 |  | 2021 |  | 2020
U.S. federal income tax provision (benefit) at statutory rate | $ | (7,109) |  |  | $ | 25,833 |  |  | $ | 20,263 |
State income tax expense, net of federal benefit | (1,170) |  |  | 5,734 |  |  | 3,224 |
Global intangible low-tax income | 919 |  |  | 143 |  |  | 229 |
Non-deductible executive compensation | 905 |  |  | 1,908 |  |  | 147 |
Stock based compensation expense | 219 |  |  | (3,851) |  |  | 1,839 |
Other, net | (67) |  |  | (33) |  |  | (34) |
Delaware gift card litigation reversal | — |  |  | — |  |  | (1,022) |
Research and development credit | (2,956) |  |  | (1,419) |  |  | (1,266) |
Change in valuation allowance | 10,643 |  |  | (77,090) |  |  | (22,017) |
Total provision (benefit) for income taxes | $ | 1,384 |  |  | $ | (48,775) |  |  | $ | 1,363 |
Schedule of components of deferred tax assets and liabilities | The components of our deferred tax assets and liabilities as of December 31, 2022 and 2021 are as follows (in thousands):
| December 31,
| 2022 |  | 2021
Deferred tax assets: |  |  |
Net operating loss carryforwards | $ | 20,711 |  |  | $ | 35,247 |
Research and development tax credits | 20,549 |  |  | 19,551 |
Basis difference in equity securities | 15,302 |  |  | 6,092 |
Capitalized software development | 12,604 |  |  | — |
Unearned revenue | 5,694 |  |  | 5,431 |
Accrued expenses | 4,259 |  |  | 5,750 |
Reserves and other | 2,592 |  |  | 2,835 |
Operating lease liabilities | 1,844 |  |  | 3,128 |
Other tax credits and carryforwards | 288 |  |  | 207 |
Intangible assets | 208 |  |  | 135 |
Gross deferred tax assets | 84,051 |  |  | 78,376 |
Valuation allowance | (21,459) |  |  | (11,384) |
Total deferred tax assets | 62,592 |  |  | 66,992 |
Deferred tax liabilities: |  |  |
Basis difference in equity securities | (15,072) |  |  | (20,831) |
Operating lease right-of-use assets | (1,702) |  |  | (3,077) |
Fixed assets | (3,730) |  |  | (2,264) |
Prepaid expenses | (649) |  |  | (785) |
Total deferred tax liabilities | (21,153) |  |  | (26,957) |
Total deferred tax assets (liabilities), net | $ | 41,439 |  |  | $ | 40,035 |
Schedule of reconciliation of beginning and ending tax contingencies, excluding interest and penalties | A reconciliation of the beginning and ending unrecognized tax benefits, excluding interest and penalties, as of December 31, 2022, 2021 and 2020 is as follows (in thousands):
| Year ended December 31,
| 2022 |  | 2021 |  | 2020
Beginning balance | $ | 11,961 |  |  | $ | 9,638 |  |  | $ | 9,058 |
Additions for tax positions related to the current year | 1,083 |  |  | 1,992 |  |  | 971 |
Additions (reductions) for tax positions taken in prior years | 444 |  |  | 331 |  |  | (35) |
Reduction due to settlements | — |  |  | — |  |  | (301) |
Reduction due to cash payments | — |  |  | — |  |  | (55) |
Ending balance | $ | 13,488 |  |  | $ | 11,961 |  |  | $ | 9,638 |

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