Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

v3.22.4
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2022
Income Taxes  
Schedule of income (loss) before income taxes

(in thousands)

Year Ended December 31, 

2022

2021

    

2020

Domestic

$

5,321

$

(6,711)

$

30

Foreign

-

-

-

Total

$

5,321

$

(6,711)

$

30

Schedule of income tax provision

(in thousands)

Year Ended December 31, 

2022

2021

    

2020

Current Income Tax Expense (Benefit)

Federal

$

1

$

-

$

-

State

57

(81)

23

Total Current Income Tax Expense (Benefit)

58

(81)

23

Deferred Income Tax Expense

Federal

410

323

-

State

56

56

-

Total Deferred Income Tax Expense

466

379

-

Total Income Tax Expense

$

524

$

298

$

23

Schedule of reconciliation of federal statutory tax rate

(in thousands, except percentages)

Year Ended December 31, 

2022

2021

2020 (1)

$

%

$

%

$

%

Statutory Rate Applied to Income (Loss) Before Taxes

$

1,117

21.0

%

$

(1,409)

21.0

%

$

-

-

%

Effect of

 

  

State Taxes, Net of Federal Benefit

113

2.1

%

45

(0.7)

%

  

-

-

Noncontrolling Interests

(617)

(11.6)

%

(464)

6.9

%

  

-

-

Return to Provision

(259)

(4.9)

%

-

-

%

  

-

-

Pre-IPO Non-taxable/Deductible Income

-

-

%

2,186

(32.5)

%

  

-

-

Texas Tax Payable Write-off

-

-

%

(81)

1.2

%

  

-

-

Other

170

3.2

%

21

(0.3)

%

  

-

-

Total Effective Tax Rate

$

524

9.8

%

$

298

(4.4)

%

$

-

-

%

(1) Prior to the IPO, Solaris LLC was structured as a partnership and, therefore, was generally not subject to U.S. federal income taxes.
Schedule of deferred tax assets and liabilities

(in thousands)

December 31, 

2022

    

2021

Deferred Income Tax Assets

 

 

  

Net Operating Losses

$

79,725

$

67,769

Other

3,696

-

Total Deferred Income Tax Assets

83,421

 

67,769

Valuation Allowance

(608)

 

(608)

Net Deferred Income Tax Assets

82,813

 

67,161

Deferred Income Tax Liabilities

 

 

 

Investment in Partnership

(52,389)

 

(47,228)

Total Deferred Income Tax Liabilities

(52,389)

 

(47,228)

Net Deferred Income Tax Asset

$

30,424

$

19,933