Income Taxes |
3 Months Ended |
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Dec. 31, 2022 | |
| Income Tax Disclosure [Abstract] | |
| Income Taxes | Income Taxes Our income tax expense for the three months ended December 31, 2022 was $1.5 million, or 36.5% of pre-tax income, compared to an income tax benefit of $1.3 million, or (10.0)% of pre-tax income, for the three months ended December 31, 2021. The income tax expense for the three months ended December 31, 2022 is primarily driven by non-deductible executive compensation, transaction costs and state and local income and franchise taxes. The income tax benefit recorded during the three months ended December 31, 2021 was primarily comprised of the valuation allowance impact related to the MIAT deferred tax liability for indefinite lived intangibles which were available to offset a portion of our indefinite lived deferred tax assets, offset by current state tax expense. As of each reporting date, management considers new evidence, both positive and negative, that could affect its view of the future realization of deferred tax assets. During the three months ended March 31, 2022, based in part on our sustained positive earnings in recent quarters, we determined that there was sufficient evidence to meet the more likely than not realizability threshold and support the reversal of a majority of the previously recorded valuation allowance against our deferred tax assets. The release of the valuation allowance resulted in the recognition of certain deferred tax assets on the condensed consolidated balance sheet and a non-cash tax benefit recorded in the condensed consolidated statement of operations for the period. As of December 31, 2022, we continued to maintain a valuation allowance related to certain federal and state attributes which are not expected to be utilized prior to expiration.
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