Table of Content 10. INCOME TAXES For the year ended December 31, 2023, our income tax provision resulted in an effective tax rate of 6.4%. For the year ended December 31, 2022, our income tax provision resulted in an effective tax rate of 2.3%. Our income tax provision for the year ended December 31, 2023 was $4.6 million, our income tax provision for December 31, 2022 was $3.3 million and includes federal, state and foreign taxes. The components of our tax provision and benefit on continuing operations were as follows (in thousands): Current Deferred Total Twelve months ended December 31, 2023: U.S. Federal $ (145) $ 304 $ 159 State & local 338 — 338 Foreign jurisdictions 3,110 971 4,081 Tax provision $ 3,303 $ 1,275 $ 4,578 Twelve months ended December 31, 2022: U.S. Federal $ (211) $ — $ (211) State & local 513 — 513 Foreign jurisdictions 1,319 1,685 3,004 Tax provision $ 1,621 $ 1,685 $ 3,306 The components of pre-tax income (loss) from continuing operations for the years ended December 31, 2023 and 2022 were as follows (in thousands): Twelve Months Ended December 31, 2023 2022 Domestic $ (86,077) $ (156,001) Foreign 14,933 9,220 Pre-tax loss from continuing operations $ (71,144) $ (146,781) The income tax provision in 2023 and 2022 attributable to the loss from continuing operations, respectively, differed from the amounts computed by applying the U.S. federal income tax rate 21% in 2023 and 2022, to pre-tax loss from continuing operations as a result of the following (in thousands): Twelve Months Ended December 31, 2023 2022 Pre-tax loss from continuing operations $ (71,144) $ (146,781) Computed income taxes at statutory rate (14,940) (30,824) State income taxes, net of federal benefit (200) 395 Foreign tax rate differential 1,229 701 Non-cash compensation 108 228 Deferred taxes on investment in foreign subsidiaries 305 — Non-deductible expenses 246 118 Foreign withholding 641 693 Prior year tax adjustments (299) 7 Valuation allowance 16,512 31,430 Other 976 558 $ 4,578 $ 3,306 Total expense for income tax on continuing operations 45