Income Taxes |
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Mar. 31, 2026 | |||||||||||||||||||||||||||||
| Income Tax Disclosure [Abstract] | |||||||||||||||||||||||||||||
| Income Taxes | 9. Income Taxes
The effective tax rate for the three months ended March 31, 2026 and 2025 primarily comprised the 21% U.S. federal corporate income tax rate and the tax effects of equity-based compensation deductions, disallowed executive compensation, and non-controlling interest. For the three months ended March 31, 2026, the effective tax rate included the impact of a one-time tax expense related to a change in the tax classification of a consolidated subsidiary. As of March 31, 2026 and December 31, 2025, the Company had federal, state, local and foreign taxes payable of $134.9 million and $141.4 million, respectively, which is recorded as a component of accounts payable, accrued expenses and other liabilities on the accompanying condensed consolidated balance sheets. In the normal course of business, the Company is subject to examination by federal and certain state, local and foreign tax regulators. As of March 31, 2026, the Company’s U.S. federal income tax returns for the years 2022 through 2024 are generally open under the normal three-year statute of limitations and therefore subject to examination. State and local tax returns are generally subject to audit from 2020 to 2024. Foreign tax returns are generally subject to audit from 2011 to 2024. Certain of the Company’s affiliates are currently under audit by federal, state and foreign tax authorities. The Company does not believe that the outcome of the audits will require it to record material reserves for uncertain tax positions or that the outcome will have a material impact on the condensed consolidated financial statements. On October 8, 2021, the OECD introduced a 15% global minimum tax under the Pillar Two GloBE model rules. On January 5, 2026, the OECD announced a “side-by-side” system under which U.S.-parented groups would be able to elect to be exempt from certain Pillar Two provisions. Additional guidance on the “side-by-side” system and implementation of such system remain subject to further discussions and clarifications from the OECD and local implementation by each OECD member country. Pillar Two has not had a material impact to the Company’s provision for income taxes; however, the Company will continue to monitor as additional guidance is released by the OECD, OECD member countries based on their enacted law changes, and other standard-setting bodies.
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