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Income Taxes (Tables) | 12 Months Ended
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Dec. 31, 2023
Income Tax Disclosure [Abstract] |
Schedule of Loss Before Income Tax, Domestic And Foreign | The components of our loss before income taxes were as follows (in thousands):
| Year Ended December 31,
| 2023 |  | 2022 |  | 2021
United States | $ | (31,972) |  |  | $ | (108,006) |  |  | $ | (125,876) |
Foreign | 1,377 |  |  | 1,617 |  |  | 986 |
Loss before income taxes | $ | (30,595) |  |  | $ | (106,389) |  |  | $ | (124,890) |
Schedule of Components Of Income Tax Benefit | The federal, state and foreign income tax benefit is summarized as follows (in thousands):
| Year Ended December 31,
| 2023 |  | 2022 |  | 2021
Current: |  |  |  |  |
Federal | $ | — |  |  | $ | — |  |  | $ | — |
State | 68 |  |  | 514 |  |  | 858 |
Foreign | 221 |  |  | 256 |  |  | 148 |
Total current | 289 |  |  | 770 |  |  | 1,006 |
Deferred: |  |  |  |  |
Federal | (2,164) |  |  | (16,382) |  |  | (20,696) |
State | (506) |  |  | (2,055) |  |  | (825) |
Foreign | — |  |  | — |  |  | — |
Total deferred | (2,670) |  |  | (18,437) |  |  | (21,521) |
Benefit from income taxes | $ | (2,381) |  |  | $ | (17,667) |  |  | $ | (20,515) |
Schedule of Effective Income Tax Rate Reconciliation | The effective tax rate of our benefit from income taxes differs from the federal statutory rate as follows:
| Year Ended December 31,
| 2023 |  | 2022 |  | 2021
Statutory rate | 21.0 | % |  | 21.0 | % |  | 21.0 | %
State income taxes, net of federal benefit | 2.8 |  |  | 2.1 |  |  | 0.4 |
Stock-based compensation shortfalls, net | (6.8) |  |  | (4.5) |  |  | (1.5) |
Non-deductible stock-based compensation | (4.7) |  |  | (0.7) |  |  | (0.8) |
Non-deductible lobbying expenses | (0.9) |  |  | (0.3) |  |  | (0.3) |
Research and development credits | 1.7 |  |  | 0.8 |  |  | 1.0 |
Changes in valuation allowance | (2.0) |  |  | (1.0) |  |  | (0.6) |
Foreign income tax and income inclusion | (1.5) |  |  | (0.2) |  |  | (0.1) |
Goodwill impairment | — |  |  | — |  |  | (2.4) |
Other permanent differences | (1.8) |  |  | (0.6) |  |  | (0.3) |
Effective tax rate | 7.8 | % |  | 16.6 | % |  | 16.4 | %
Schedule of Deferred Tax Assets And Liabilities | The tax effects of significant items comprising our deferred taxes as of December 31, 2023 and 2022 were as follows (in thousands):
| December 31, 2023 |  | December 31, 2022
Deferred tax assets: |  |  |
Net operating losses | $ | 154,607 |  |  | $ | 154,832 |
Intangible assets | 21,232 |  |  | 13,618 |
Research and development credits carryovers | 12,493 |  |  | 11,384 |
Operating lease liabilities | 8,458 |  |  | 10,015 |
Accruals and reserves | 6,352 |  |  | 3,411 |
Stock-based compensation | 1,283 |  |  | 1,387 |
Fixed assets | 1,069 |  |  | 636 |
Other | 2,279 |  |  | 1,093 |
Total deferred tax assets | 207,773 |  |  | 196,376 |
Valuation allowance | (4,888) |  |  | (4,287) |
Total deferred tax assets net of valuation allowance | 202,885 |  |  | 192,089 |
Deferred tax liabilities: |  |  |
Commissions receivable | (227,242) |  |  | (217,919) |
Right-of-use assets | (5,330) |  |  | (6,529) |
Total deferred tax liabilities | (232,572) |  |  | (224,448) |
Net deferred tax liabilities | $ | (29,687) |  |  | $ | (32,359) |
Schedule of Changes in Valuation Allowance | The change in our valuation allowance is summarized as follows for the years ended (in thousands):
Deferred Tax Assets - Valuation Allowance |  | Balance at beginning of year |  | Provision for income taxes |  | Write-offs and Deductions |  | Balance at end of year
December 31, 2023 |  | $ | 4,287 |  |  | $ | 643 |  |  | $ | (42) |  |  | $ | 4,888 |
December 31, 2022 |  | 3,214 |  |  | 1,103 |  |  | (30) |  |  | 4,287 |
December 31, 2021 |  | 2,479 |  |  | 3,150 |  |  | (2,415) |  |  | 3,214 |
Schedule of Operating Loss Carryforwards | The net operating loss and tax credit carryforwards as of December 31, 2023 are summarized as follows (in thousands):
|  | Amount |  | Expires
Net operating losses, federal (with expiration) |  | $ | 39,166 |  |  | 2034-2037
Net operating losses, federal (without expiration) |  | 587,020 |  |  | Indefinite
Net operating losses, state (with expiration) |  | 408,112 |  |  | 2024-2043
Tax credits, federal |  | 11,582 |  |  | 2024-2043
Tax credits, state |  | 11,859 |  |  | n/a
Schedule of Tax Credit Carryforwards | The net operating loss and tax credit carryforwards as of December 31, 2023 are summarized as follows (in thousands):
|  | Amount |  | Expires
Net operating losses, federal (with expiration) |  | $ | 39,166 |  |  | 2034-2037
Net operating losses, federal (without expiration) |  | 587,020 |  |  | Indefinite
Net operating losses, state (with expiration) |  | 408,112 |  |  | 2024-2043
Tax credits, federal |  | 11,582 |  |  | 2024-2043
Tax credits, state |  | 11,859 |  |  | n/a
Schedule Of Unrecognized Tax Benefits Roll Forward | A reconciliation of the beginning and ending amount of our unrecognized tax benefits is as follows (in thousands):
| Year Ended December 31,
| 2023 |  | 2022 |  | 2021
Beginning balance | $ | 9,875 |  |  | $ | 8,551 |  |  | $ | 6,330 |
Additions for tax positions of prior years | — |  |  | 162 |  |  | 646 |
Lapse of statute of limitations | (36) |  |  | (86) |  |  | (64) |
Additions based on tax positions related to the current year | 800 |  |  | 1,248 |  |  | 1,639 |
Ending balance | $ | 10,639 |  |  | $ | 9,875 |  |  | $ | 8,551 |

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