|12 Months Ended|
Dec. 31, 2016
|Income Tax Disclosure [Abstract]|
The following table summarizes our provision for income taxes for the periods presented:
The following table reconciles the difference between the income tax benefit computed by applying the statutory tax rate to our loss before income taxes and our reported income tax benefit for the periods presented:
The following table summarizes the principal components of our deferred income tax assets and liabilities as of the dates presented:
As of December 31, 2016, we had federal NOL carryforwards of approximately $120.3 million, which, if not utilized, expire between 2032 and 2036, and tax-effected state NOL carryforwards of approximately $69.6 million, which expire between 2024 and 2036. Because of the change in ownership provisions of the Tax Reform Act of 1986, use of a portion of our federal and state NOL may be limited in future periods.
As of December 31, 2015, we carried a valuation allowance against our federal and state deferred tax assets of $662.9 million. We incurred a pre-tax loss in 2015 which, when aggregated with the prior two years, resulted in a pre-tax loss for the three year period ended December 31, 2015. We considered both the positive and negative evidence in determining whether it was more likely than not that some portion or all of our deferred tax assets will be realized. Due to the reorganization and subsequent emergence from bankruptcy, our NOL carryforwards were reduced under Internal Revenue Code Section 108(b), as well as a corresponding decrease in the valuation allowance of $374.5 million which resulted in an ending balance of $288.4 million as of December 31, 2016. The amount of deferred tax asset considered realizable could, however, be adjusted if estimates of future taxable income during the carryforward period are reduced or increased or if objective negative evidence in the form of cumulative losses is no longer present and additional weight is given to subjective evidence such as our projections for growth.
We had no liability for unrecognized tax benefits as of December 31, 2016 and 2015. There were no interest and penalty charges recognized during the years ended December 31, 2016, 2015 and 2014. Tax years from 2012 forward remain open for examination by the Internal Revenue Service and various state jurisdictions.
The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.
Reference 1: http://www.xbrl.org/2003/role/presentationRef