XML 25 R14.htm IDEA: XBRL DOCUMENT v3.24.1.u1
Note 8 - Income Taxes
 3 Months Ended
Mar. 31, 2024
Notes to Financial Statements  
Income Tax Disclosure [Text Block]

8. Income Taxes:

 

The Company’s provision for income taxes for interim periods is determined by using an estimated annual effective tax rate, adjusted for discrete items arising during the quarter. At each quarter, the Company updates the estimated annual effective tax rate and makes a year-to-date adjustment to the provision. The estimated annual effective tax rate is subject to volatility due to several factors, including accurately forecasting the Company’s net income before tax and taxable income or loss and the mix of tax jurisdictions to which they relate, intercompany transactions, and changes in statutes, regulations, and case law.

 

For the three months ended March 31, 2024, the Company recorded an income tax expense of $1.8 million on net loss before income taxes of $24.7 million using an estimated effective tax rate for the fiscal year ending December 31, 2024 adjusted for certain minimum state taxes. Our effective tax rates for the three months ended March 31, 2024 differs from the U.S. federal statutory rate primarily due to changes in valuation allowance on net operating losses and the impact of foreign earnings.

 

Comparatively, for the three months ended March 31, 2023, the Company recorded an income tax recovery of $1.7 million on net loss before income taxes of $20.8 million, using an estimated effective tax rate for the fiscal year ending December 31, 2023 adjusted for certain minimum state taxes. Our effective tax rate for the three months ended March 31, 2023 differs from the U.S. federal statutory rate primarily due to an increase in valuation allowance on net operating losses.