Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

v3.19.3.a.u2
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2019
Income Tax Disclosure [Abstract]  
Schedule of income tax provision
The income tax provision consists of the following:
 
2019
 
2018
 
2017
 
(In thousands)
Current:
 
 
 
 
 
State
$

 
$
(1,530
)
 
$
2,167

Federal
(7
)
 
253

 
3,362

Deferred:
 
 
 
 
 
State
(7,556
)
 
1,530

 
(118
)
Federal

 
(322
)
 
(3,602
)
Total income tax (benefit) expense provision
$
(7,563
)
 
$
(69
)
 
$
1,809


Schedule of reconciliation to the statutory federal income tax
A reconciliation of the statutory federal income tax amount to the recorded expense follows:
 
2019
 
2018
 
2017
 
(In thousands)
Income (loss) before federal income taxes
$
(2,009,921
)
 
$
430,491

 
$
436,961

Expected income tax at statutory rate
(422,083
)
 
90,403

 
152,936

State income taxes
(28,316
)
 
(511
)
 
2,299

Other differences
3,372

 
1,078

 
5,731

Remeasurement due to Tax Cut and Jobs Act

 

 
190,034

Change in valuation allowance due to current year activity
439,464

 
(91,039
)
 
(158,704
)
Change in valuation allowance due to Tax Cuts and Jobs Act

 

 
(190,487
)
Income tax (benefit) expense recorded
$
(7,563
)
 
$
(69
)
 
$
1,809


Schedule of deferred tax assets and liabilities
The tax effects of temporary differences and net operating loss carryforwards, which give rise to deferred tax assets and liabilities at December 31, 2019, 2018 and 2017 are estimated as follows: 
 
2019
 
2018
 
2017
 
(In thousands)
Deferred tax assets:
 
 
 
 
 
Net operating loss carryforward
$
269,851

 
$
164,363

 
$
120,626

Oil and gas property basis difference
289,850

 
3,595

 
151,260

Investment in pass through entities
58,951

 
8,620

 
12,343

Stock-based compensation expense
1,440

 
616

 
813

Business energy investment tax credit
370

 
369

 
369

Charitable contributions carryover
297

 
269

 
255

Change in fair value of derivative instruments
11,219

 
2,761

 

Foreign tax credit carryforwards
943

 
2,009

 
2,074

Accrued liabilities
669

 
834

 
285

ARO liability
12,744

 
16,923

 
15,897

Non-oil and gas property basis difference

 
104

 
171

Lease liability
12,128

 

 

State net operating loss carryover
13,258

 
11,526

 
6,954

Interest expense carryforward
23,818

 

 

Total deferred tax assets
695,538

 
211,989

 
311,047

Valuation allowance for deferred tax assets
(647,575
)
 
(211,987
)
 
(298,830
)
Deferred tax assets, net of valuation allowance
47,963

 
2

 
12,217

Deferred tax liabilities:
 
 
 
 
 
Non-oil and gas property basis difference
1,859

 

 

Change in fair value of derivative instruments
26,410

 
2

 
11,009

Right of use asset
12,128

 

 

Other
3

 

 

Total deferred tax liabilities
40,400

 
2

 
11,009

Net deferred tax asset
$
7,563

 
$

 
$
1,208