Annual report pursuant to Section 13 and 15(d)

INCOME TAXES (Tables)

v3.22.4
INCOME TAXES (Tables)
 12 Months Ended
Dec. 31, 2022
Income Tax Disclosure [Abstract]  
Significant Components of the Provision for Income Tax Expense (Benefit) Significant components of the provision for income tax expense (benefit) are as follows:
Year Ended December 31,
2022 2021 2020
(in thousands)
Current:
  Federal $ 658  $ —  $ — 
  Foreign 83,633  8,713  7,978 
  State 4,764  (1,555) 1,024 
Total current 89,055  7,158  9,002 
Deferred:
  Federal 6,223  7,451  (16,366)
  Foreign (397) (17,434) (20,772)
  State 1,373  344  (739)
Total deferred 7,199  (9,639) (37,877)
Income tax expense (benefit) $ 96,254  $ (2,481) $ (28,875)
Significant Components of Deferred Tax Liabilities and Assets Significant components of our deferred tax liabilities and assets are as follows:
December 31,
2022 2021
(in thousands)
Deferred tax liabilities:
          Leases $ 217,919  $ 209,758 
          Intangible assets 297,894  265,092 
          Prepaid expenses 12,490  3,424 
          Hedge investments 10,584  — 
          Other 19,086  5,829 
Total deferred tax liabilities 557,973  484,103 
Deferred tax assets:
          Intangible assets 51,634  48,738 
          Accrued expenses 139,432  105,118 
          Net operating loss carryforwards 848,735  957,509 
          Foreign tax and other credit carryforwards 51,055  45,009 
          Equity compensation 9,452  14,602 
          Leases 250,183  237,963 
          Interest limitation 84,599  54,730 
          Capitalized R&D 35,149  — 
          Other 53,359  30,056 
Total gross deferred tax assets 1,523,598  1,493,725 
          Valuation allowance 1,240,881  1,219,496 
Total net deferred tax assets 282,717  274,229 
Net deferred tax liabilities $ (275,256) $ (209,874)
Reconciliation of Income Taxes at the United States Statutory Rate to Income Tax Expense The reconciliation of income tax computed at the United States federal statutory rates to income tax expense (benefit) is:
Year Ended December 31,
2022 2021 2020
(in thousands)
Income tax expense (benefit) at United States statutory rate of 21%
 $ 106,144  $ (128,366) $ (389,900)
State income taxes, net of federal tax benefits 4,893  (1,267) 713 
Differences between foreign and United States statutory rates
 14,898  (11,237) (12,794)
Non-United States income inclusions and exclusions (30,783) (1,677) 1,809 
United States income inclusions and exclusions (78,061) (22,121) (16,495)
Nondeductible items 32,907  18,413  39,861 
Tax contingencies 728  895  (1,302)
Tax expense from acquired goodwill 7,596  7,795  6,950 
Change in valuation allowance 38,811  135,908  344,161 
Other, net (879) (824) (1,878)
$ 96,254  $ (2,481) $ (28,875)
Summary of Activity Related to Unrecognized Tax Benefits The following table summarizes the activity related to our unrecognized tax benefits:
Year Ended December 31,
2022 2021 2020
(in thousands)
Balance at January 1 $ 21,330  $ 21,732  $ 21,723 
Additions:
          Increase for current year positions 751  524  1,689 
          Increase for prior year positions 896  335  — 
          Interest and penalties for prior years 160  36  352 
Reductions:
          Decrease for prior year positions —  —  (2,109)
          Expiration of applicable statute of limitations —  —  — 
          Settlements for prior year positions (141) (1,435) (17)
Foreign exchange —  138  94 
Balance at December 31 $ 22,996  $ 21,330  $ 21,732