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Income Taxes
 3 Months Ended 12 Months Ended
Jun. 30, 2023
Mar. 31, 2023
Income Tax Disclosure [Abstract]    
Income Taxes
12.
Income Taxes
The components of income tax expense (benefit) for the three months ended June 30, 2023 and 2022, were as follows:
 
(Dollars in thousands)
   
Three Months Ended

June 30,
  
    
2023
     
2022
  
Deferred expense
      
Federal
    $ —    $ 397
  
 
 
     
 
 
  
Income tax expense (benefit)
    $ —    $ 397
  
 
 
     
 
 
  
15. Income Taxes
The components of income tax expense (benefit) for the year ended March 31, 2023, the three months ended March 31, 2022, and the years ended December 31, 2021 and 2020, were as follows:
 

(Dollars in thousands)
  
Year Ended
March 31,
2023
 
  
Three Months
Ended
March 31,
2022
 
  
Year Ended
December 31,
2021
 
  
Year Ended
December 31,
2020
 
Deferred expense
  
  
  
  
Federal
    $ (1,072 )     $ 1,072      $ —      $ 3,459  
    
 
 
     
 
 
     
 
 
     
 
 
  
Income tax expense (benefit)
    $ (1,072 )     $ 1,072      $ —      $ 3,459  
    
 
 
     
 
 
     
 
 
     
 
 
  
Income tax expense differs from the amounts computed by applying the Federal statutory rate to
pre-tax
income (loss). A reconciliation between the Federal statutory income tax rate of 21% to the effective income tax rate for the year ended March 31, 2023, the three months ended March 31, 2022, and the years ended December 31, 2021 and 2020, respectively, are shown below:
 

(Dollars in thousands)
  
Year
Ended
March 31,
2023
 
  
Three
Months
Ended
March 31,
2022
 
  
Year Ended
December 31,
2021
 
  
Year Ended
December 31,
2020
 
Expected statutory income tax benefit
    $ (51,011 )     $ (9,381 )     $ (20,403 )     $ (19,949 ) 
Amounts attributable to
non-taxable
flow-through entities
      41,240        5,279        19,413        19,030  
Amounts not deductible for income tax
      505        11        (776 )       1,368  
Change in valuation allowance
      8,194        5,163        1,766        3,010  
    
 
 
     
 
 
     
 
 
     
 
 
  
Income tax expense (benefit)
    $ (1,072 )     $ 1,072      $ —      $ 3,459  
    
 
 
     
 
 
     
 
 
     
 
 
  
 
The components of gross deferred tax assets and gross deferred tax liabilities as of March 31, 2023 and March 31, 2022, are as follows (included in other assets):
 
(Dollars in thousands)
   March 31,
2023		      March 31,
2022		  
Deferred income tax assets:
      
Passthrough differences—temporary
    $ 17,142    $ 8,948
Net operating loss
      991      991
  
 
 
     
 
 
  
Non-current
deferred income tax assets
      18,133      9,939
  
 
 
     
 
 
  
Deferred income tax liabilities:
      
Other
      —          (1,072 ) 
  
 
 
     
 
 
  
Non-current
deferred income tax liabilities
      —          (1,072 ) 
  
 
 
     
 
 
  
Less: valuation allowance
      18,133      9,939
  
 
 
     
 
 
  
Total deferred income tax liability
    $ —        $ (1,072 ) 
  
 
 
     
 
 
  
As of March 31, 2023 and March 31, 2022, our gross federal net operating loss carryforwards for income tax purposes were approximately $4.7 million and $4.7 million, respectively. Under the Tax Act, federal net operating loss carryforwards can be carried forward indefinitely but limits the deduction for federal net operating losses to 80% of taxable income.
The Company has evaluated the positive and negative evidence bearing upon its ability to realize the deferred tax assets. Management has considered the Company’s history of cumulative net losses incurred over the past three years and has concluded that it is more likely than not that the Company will not realize the benefits of the deferred tax assets. Accordingly, a full valuation allowance has been established against the net deferred tax assets as of March 31, 2023 and March 31, 2022.
The Company does not have any significant uncertain tax positions as of March 31, 2023 and March 31, 2022, and the 2019, 2020, 2021 and 2022 tax years remain subject to examination by major tax jurisdictions as of the date of this report.