Income Taxes (Tables)

12 Months Ended

Dec. 31, 2021

The Company’s income tax (benefit) provision related to the income from continuing operations in 2021, 2020, and 2019 were ($ in thousands):


	Year Ended December 31,
	2021		2020		2019
Current taxes:
Federal	$	(5,578)	$	804	$	4,590
State	363		(3)		(1,061)
Total current tax (benefit) provision	(5,215)		801		3,529
Deferred taxes:
Federal	1,094		1,523		(10,281)
State	(3,706)		1,853		(4,888)
Total deferred tax (benefit) provision	(2,612)		3,376		(15,169)

Total tax (benefit) provision	$	(7,827)	$	4,177	$	(11,640)

Schedule of Deferred Tax Assets and Liabilities

The following represents the tax impact of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities from continuing operations on December 31, 2021 and 2020 ($ in thousands):


	As of December 31,
	2021		2020
Deferred tax assets:
Net operating loss carryforwards	$	—	$	11,201

Deferred revenue	32		34
Accrued compensation	2,257		1,918
Accrued expense	338		316
Intangible assets	3,654		3,432
Other	2,919		3,796


Net deferred tax assets	9,200		20,697
Deferred tax liabilities:

Investment basis difference	(414)		(414)

Property and equipment	(46,536)		(45,995)
Unrealized gain on derivative instruments, net	(358)		(244)

Prepaid expenses and other	(432)		(497)
Total deferred tax liabilities	(47,740)		(47,150)
Net deferred tax liabilities	$	(38,540)	$	(26,453)

Schedule of Reconciliation of Income Taxes

These amounts are different from the amounts computed by applying the U.S. federal income tax rate for the period to pre-tax income as a result of the following ($ in thousands):


	Year Ended December 31,
	2021		2020		2019
Tax benefit at U.S. statutory rate	$	(64,705)	$	(19,418)	$	(7,747)
Permanent differences and other	10,980		21,565		853
State income taxes, net of federal benefit	(2,641)		1,463		(4,705)
Income attributable to noncontrolling interest	95		95		(41)
Partnership expenses, not subject to tax	48,444		—		—
Change in investment and foreign tax credits	—		472		—


Total tax (benefit) provision	$	(7,827)	$	4,177	$	(11,640)

Macquarie Infrastructure Holdings, LLC 10-K