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Income Taxes | 9 Months Ended
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Sep. 30, 2020
Income Tax Disclosure [Abstract] |
Income taxes | Note 14. Income taxes The Company’s provision for income taxes is based upon estimated annual tax rates for the year applied to federal, state and foreign income. The Company recorded a provision for income taxes of $0.0 million and $0.1 million for the three-month periods ended September 30, 2019 and 2020, with an effective tax rate of 0.2 % and 2.5%, respectively. The Company recorded a provision for income taxes of $9.0 million and $0.2 million for the nine-month periods ended September 30, 2019 and 2020, with an effective tax rate of (120.4)% and 2.7%, respectively. The change in the effective tax rate from 0.2% for the three-month period ended September 30, 2019 to 2.5% for the three-month period ended September 30, 2020 was primarily due to the effects of higher income in the three-month period ended September 30, 2020 when compared to the three-month period ended September 30, 2019, and effects of changes to the valuation allowance. The change in the effective tax rate from (120.4)% for the nine-month period ended September 30, 2019 to 2.7% for the nine-month period ended September 30, 2020 was primarily due to the fact that the nine-month period ended September 30, 2019 included a tax expense due to the recognition of a valuation allowance against the UK deferred tax assets. For the three-month and nine-month periods ended September 30, 2020, the Company’s effective tax rate of 2.5 % and 2.7%, respectively, were different from the statutory rate of 21.0% primarily due to the utilization of previously unrecognized loss carryforwards in a foreign jurisdiction, resulting in recognition of a tax benefit. On March 27, 2020, the Coronavirus Aid, Relief and Economic Security (“CARES”) Act was enacted and signed into U.S. law to provide emergency aid and health care for individuals and businesses affected by the COVID-19 pandemic, generally supporting the U.S. economy. The CARES Act, among other things, includes provisions related to deferral of the employer portion of social security payments, refundable payroll tax credits, net operating loss carryback limitations, modifications to the net interest deduction thresholds, and technical corrections to tax depreciation methods for qualified improvement property. The Company has chosen to take advantage of the deferral of the employer portion of social security payments and recorded the deferral as a noncurrent liability in the condensed consolidated balance sheets. The remaining provision of the CARES Act is not expected to apply, and the Company does not currently expect the Act to have a material impact on its consolidated financial condition or results of operations. On July 22, 2020, the UK 2020 Finance Act became law. This new law raises the UK tax rate to 19% for all of 2020. The effects of this tax rate change on deferred tax assets is an increase to the asset of $0.9 million with an equal and offsetting increase in the valuation allowance, with an overall net impact of zero.

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- 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/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 21 -URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32857-109319 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 11.C) -URI http://asc.fasb.org/extlink&oid=116825942&loc=d3e330215-122817 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 17 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32809-109319 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SAB TOPIC 6.I.5.Q1) -URI http://asc.fasb.org/extlink&oid=116825942&loc=d3e330036-122817 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 14 -URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32705-109319 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 270 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6424409&loc=d3e44925-109338 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -URI http://asc.fasb.org/topic&trid=2144680 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 30 -Section 50 -Paragraph 2 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=6424122&loc=d3e41874-109331 + Details
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