CNS AR24 Digital - Book - Page 87
COHEN & STEERS, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS4(Continued)
Significant components of the Company9s net deferred income tax asset consist of the following:
At December 31,
2024
(in thousands)
Deferred income tax assets:
Stock-based compensation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $
Lease liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Net unrealized losses on investments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Realized losses on investments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Less: valuation allowance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Deferred income tax liabilities:
Right-of-use assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Property and equipment depreciation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Net unrealized gains on investments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Net deferred income tax asset . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $
2023
10,616 $
31,653
859
424
421
43,973
(1,283)
42,690
8,625
31,882
1,264
1,713
342
43,826
(3,419)
40,407
(21,885)
(10,933)
(1,947)
(34,765)
7,925 $
(22,979)
(9,788)
4
(32,767)
7,640
The Company had capital loss carryforwards of $1.8 million and $7.1 million for the years ended December 31, 2024
and 2023, respectively, which, if unused, will expire in years 2025 to 2028. The valuation allowance on the net deferred
income tax asset decreased by $2.1 million during the year ended December 31, 2024.
A reconciliation of the beginning and ending amount of gross unrecognized tax benefits is as follows:
Liability for Unrecognized
Tax Benefits
(in thousands)
Gross unrecognized tax benefits balance at January 1, 2022 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $
Addition for tax positions of current year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Reduction for tax positions from prior years . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Gross unrecognized tax benefits balance at December 31, 2022 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $
Addition for tax positions of current year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Reduction for tax positions from prior years . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Reduction related to settlements with taxing authorities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Reduction related to lapse of statute of limitations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Gross unrecognized tax benefits balance at December 31, 2023 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $
Addition for tax positions of current year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Reduction for tax positions from prior years . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Gross unrecognized tax benefits balance at December 31, 2024 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $
10,386
958
(6,367)
4,977
1,076
(116)
(3,156)
(250)
2,531
458
(1,678)
1,311
At December 31, 2024, the Company had $1.3 million of total gross unrecognized tax benefits. Of this total, $1.1
million (net of the federal benefit on state issues) represents the amount of unrecognized tax benefits that, if recognized,
would favorably affect the Company9s effective tax rate in future periods. The Company believes it is reasonably possible
that it will reduce its net unrecognized tax benefits by $0.2 million within the next twelve months due to the expected
conclusion of jurisdictional reviews and the lapse of the statute of limitations on certain positions.
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