Annual report pursuant to Section 13 and 15(d)

INCOME TAXES (Tables)

v3.20.4
INCOME TAXES (Tables)
 12 Months Ended
Dec. 31, 2020
Income Tax Disclosure [Abstract]  
Schedule of provision for income taxes
The provision for income taxes consists of the following:
Year Ended December 31,
2020 2019 2018
Current:
Federal $ 1,537  $ 532  $ 211 
State and Local 168  109  73 
Total Current Provision $ 1,705  $ 641  $ 284 
Deferred:
Federal $ —  $ —  $ — 
State and Local —  —  — 
Total Deferred Provision $ —  $ —  $ — 
Total Provision for Income Taxes $ 1,705  $ 641  $ 284 
Summary of reconciliation of the unrecognized tax benefits
A reconciliation of the unrecognized tax benefits is as follows:
Balance as of December 31, 2019 $ 1,192 
Increase due to tax positions of current year 4 
Balance as of December 31, 2020 $ 1,196 
Schedule of effective income tax reconciliation
The difference between the Company's reported provision for income taxes and the U.S. federal statutory rate of 21% is as follows:
December 31,
2020 2019 2018
Provision at the statutory rate 21.00  % 21.00  % 21.00  %
Permanent items (0.56) % (0.17) % (1.07) %
Excess Inclusion Income (2.80) % (0.45) % (0.05) %
State and local taxes (0.25) % (0.16) % (0.15) %
Valuation allowance (20.61) % (21.11) % (19.97) %
Unrecognized tax benefits (0.01) % (0.86) % (1.84) %
Tax credits —  % —  % 1.36  %
Other 0.11  % 0.57  % —  %
Total Benefit (Expense) (3.12) % (1.18) % (0.72) %
Schedule of deferred tax assets
The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities as of December 31, 2020 and 2019 are presented below:
December 31,
2020 2019
Deferred tax assets:
Allowance for loan losses $ 283  $ 308 
Depreciation and amortization 8,158  3,939 
Accrued expenses 2,956  2,488 
Interest 3,757  3,661 
Operating lease liabilities 59,804  56,803 
Net operating losses 126,163  107,415 
Capital losses 7,749  7,437 
Deferred revenue 1,956  2,124 
Investment in Partnership 5,330  155 
Impairment Loss 1,822  2,248 
Other 1,342  3,215 
Total deferred tax assets 219,320  189,793 
Less valuation allowance (152,884) (123,434)
Net deferred tax assets $ 66,436  $ 66,359 
Deferred tax liabilities:
Operating lease right-of-use assets 61,467  59,716 
Membership deposit liabilities 4,969  6,643 
Total deferred tax liabilities $ 66,436  $ 66,359 
Net deferred tax assets $ —  $ — 
Schedule of change in deferred tax asset valuation allowance
The following table summarizes the change in the deferred tax asset valuation allowance:
Valuation allowance at December 31, 2019 $ 123,434 
Increase due to current year operations 29,450 
Valuation allowance at December 31, 2020 $ 152,884