Quarterly report pursuant to Section 13 or 15(d)

Income Taxes

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Income Taxes
 3 Months Ended
Mar. 31, 2022
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
The following table includes the Company’s income (loss) before income tax provision (benefit), income tax provision (benefit) and effective tax rate:
  Three Months Ended
  March 31,
  2022 2021
(in thousands, except for effective tax rate)
Income (loss) before income tax provision (benefit) $ (12,688) $ 9,347 
Income tax provision (benefit) 2,020  (5,588)
Effective tax rate (15.9) % (59.8) %

For the three months ended March 31, 2022, the Company's quarterly provision for income taxes is calculated by applying a projected annual effective tax rate ("ETR"), calculated separately for the US and each foreign entity, to ordinary pre-tax book income.

For the three months ended March 31, 2022, the Company’s effective tax rate differed from the statutory rate primarily due to the increase in the valuation allowance the Company has placed on a portion of its U.S. deferred tax assets which includes the impact of IRC Section 174, permanent book-tax differences, the impact of state and local taxes offset by federal and state research and development ("R&D") credits and the windfall from stock-based compensation.

For the three months ended March 31, 2021, the Company's effective tax rate differed from the statutory rate primarily due to the increase in the valuation allowance the Company has placed on a portion of its U.S. deferred tax assets, permanent book-tax differences and the impact of state and local taxes offset by federal and state R&D credits.