|3 Months Ended|
Mar. 31, 2021
|Income Tax Disclosure [Abstract]|
|Income Taxes||INCOME TAXES
We recorded a provision (benefit) for income taxes of $2,205 and $(2,503) for the three months ended March 31, 2021 and 2020, respectively. The estimated effective annualized tax rate impacted by the period discrete items is 15.1% for the three months ended March 31, 2021, compared to a (60.6)% of estimated effective annualized tax rate for the three months ended March 31, 2020.
The principal reasons for the difference between the statutory rate and the estimated annual effective rate for 2021 were the effects of investment tax credits which we are entitled from solar plants placed into service or are forecasted to be placed into service during 2021, the tax deductions related to the Section 179D deduction, the deduction of compensation expense associated with certain employee stock options, and tax basis adjustments on certain partnership flip transactions.
The principal reason for the difference between the statutory rate and the estimated annual effective rate for 2020 were the effects of investment tax credits to which we are entitled from solar plants which were placed into service during 2020, tax deductions related to the Section 179D deduction, tax basis adjustments on certain partnership flip transactions, and tax rate benefits associated with the net operating loss carryback made possible by the passing of the COVID-19 CARES Act on March 27, 2020.
The following table sets forth the total amounts of gross unrecognized tax benefits:
The amount of unrecognized tax benefits that, if recognized, would favorably affect the effective income tax rate in any future periods was $190 as of March 31, 2021 and December 31, 2020 (net of the federal benefit on state amounts).
We presented all deferred tax assets and liabilities as noncurrent, net liabilities on our condensed consolidated balance sheets as of March 31, 2021, and December 31, 2020.
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/disclosureRef