Income Taxes |
9 Months Ended |
|---|---|
Sep. 30, 2026 | |
| Income Tax Disclosure [Abstract] | |
| Income Taxes | Income Taxes The Company's consolidated effective income tax rate for the three and nine months ended September 30, 2026 was 26.3% and 27.0%, respectively, compared to a consolidated effective income tax rate of (273.5)% and (40.7)% for the three and nine months ended September 30, 2025, respectively. The 2026 effective rates differed from the statutory rate of 21.0% primarily due to certain forecasted nondeductible expenses, and the 2025 rates differed primarily due to a decrease in the valuation allowance against certain business interest carry over deferred tax assets. Valuation Allowance for Deferred Income Tax Assets The Company considers all available positive and negative evidence to determine whether sufficient taxable income will be generated in the future to permit realization of the existing deferred tax assets. In accordance with the provisions of ASC 740, Income Taxes, the Company is required to provide a valuation allowance against deferred income tax assets when it is "more likely than not" that some portion or all of the deferred tax assets will not be realized. Based on management's assessment, as of September 30, 2026, the Company continues to record a full valuation allowance against certain transaction costs, and net deferred tax assets acquired as part of the Payslate acquisition. The Company will continue to evaluate the realizability of the net deferred tax asset on a quarterly basis and, as a result, the valuation allowance may change in future periods.
|