Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

v3.24.1
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2023
Income Tax Disclosure [Abstract]  
Schedule of Components of Loss Before Taxes
The components of loss before income taxes were as follows:
Year Ended December 31,
2023 2022
(in thousands)
Domestic $ (183,731) $ (1,559,695)
Foreign —  — 
Total $ (183,731) $ (1,559,695)
Schedule of Components of Income Tax Expense
The components of income tax expense were as follows:
Year Ended December 31,
2023 2022
(in thousands)
Current income taxes:
Federal $ 170  $ 111 
State 2,525  1,751 
Total current income taxes 2,695  1,862 
Deferred income taxes:
Federal —  — 
State —  — 
Total deferred income taxes —  — 
Total income tax expense $ 2,695  $ 1,862 
Schedule of Reconciliation Between the Income Tax Provision Computed By Applying The Statutory Federal Rate and the Actual Provision
A reconciliation of the statutory federal income tax to the Company’s provision for income taxes is as follows:
Year Ended December 31,
2023 2022
(dollars in thousands)
Tax at federal statutory rate $ (38,584) $ (327,536)
Non-controlling interest and nontaxable income 24,486  260,020 
Change in valuation allowance 29,781  33,961 
Investment in P3 LLC (20,420) 35,147 
Return to provision 4,134  — 
Deferred tax adjustments 1,754  — 
Other reconciling items 1,544  270 
Total $ 2,695  $ 1,862 
Effective tax rate (1.5) % (0.1) %
Schedule of Deferred Income Tax Assets and Liabilities
Deferred income taxes result from differences in the recognition of amounts for tax and financial reporting purposes, as well as operating loss and tax credit carryforwards. Significant components of the Company’s deferred income tax assets and liabilities are as follows:
December 31,
2023 2022
(in thousands)
Deferred tax assets:    
Investment in P3 LLC $ 19,709  $ 20,684 
Net operating loss carryforwards 21,525  17,601 
Accrued liabilities 221  2,764 
Goodwill and identifiable intangible assets 1,923  589 
Section 163j interest limitation 3,031  1,995 
Other deferred tax assets 632  94 
Total deferred tax assets 47,041  43,727 
Less: valuation allowance (46,370) (43,558)
Net deferred tax assets 671  169 
Deferred tax liabilities:
Operating lease, right-of-use assets (338) (19)
Other deferred tax liabilities (333) (150)
Total deferred tax liabilities (671) (169)
Net deferred tax asset $ —  $ —