Income Taxes |
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| Income Tax Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Income Taxes | Income Taxes The Company is taxed as a C corporation and files income tax returns in the U.S. federal jurisdiction and in various state jurisdictions. For interim periods, the provision for income taxes (including federal, state and local taxes) is calculated based on the estimated annual effective tax rate, adjusted for certain discrete items for the full fiscal year. Cumulative adjustments to the Company’s estimate are recorded in the interim period in which a change in the estimated annual effective rate is determined. Each quarter the Company updates its estimate of the annual effective tax rate, and if its estimated tax rate changes, the Company makes a cumulative adjustment. The following table presents the Company’s income tax expense and its income tax rate for the three and nine months ended September 30, 2026 and 2025.
The U.S. federal statutory tax rate was 21% for each of the three and nine months ended September 30, 2026 and 2025. The Company’s effective tax rate differed from the U.S. federal statutory tax rate primarily due to state income taxes, federal tax credits, other permanent adjustments and discrete tax items. The Company’s effective tax rates for the nine months ended September 30, 2026 and 2025 were significantly impacted by excess tax benefits related to the vesting of restricted stock units (“RSUs”) (see Note 14) which were recorded as discrete tax benefits during the first quarter of each year. The amount of these excess tax benefits is primarily dependent on the Company’s stock price on the applicable vesting dates. The excess tax benefits reduced the first-quarter effective tax rate by approximately 533.3% and 53.5% during 2026 and 2025, respectively. No valuation allowance was required as of September 30, 2026 or December 31, 2025.
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