Quarterly report pursuant to Section 13 or 15(d)

Income Taxes

v3.19.1
Income Taxes
3 Months Ended
Mar. 31, 2019
Income Tax Disclosure [Abstract]  
Income Taxes
Income Taxes

The Company provides for income taxes at the statutory rate of 21% adjusted for permanent differences expected to be realized, which primarily relate to non-deductible executive compensation expenses, restricted stock windfalls, and state income taxes. The following table presents a reconciliation of the reported amount of income tax expense to the amount of income tax expense that would result from applying domestic federal statutory tax rates to pretax income from continuing operations:
 
Three Months Ended
Components of income tax rate reconciliation
March 31, 2019
 
March 31, 2018
Income tax expense computed at the statutory federal income tax rate
21
 %
 
21
 %
State taxes net of federal expense
1
 %
 
1
 %
Section 162(m)
1
 %
 
 %
Valuation allowance
 %
 
(21
)%
Effective income tax rate, before discrete items
23
 %
 
1
 %
   Discrete items (a)
(2
)%
 
 %
Effective income tax rate, after discrete items
21
 %
 
1
 %

(a)
Accounts for the potential impact of periodic volatility of stock-based compensation tax deductions on future effective tax rates.