Income Taxes
 12 Months Ended
Dec. 31, 2015
Income Tax Disclosure [Abstract]  
Income Taxes
14.
Income Taxes
Prior to the completion of the IPO, the Predecessor prepared its income tax provision as if it operated as a stand-alone taxpayer for all periods presented in accordance with a pre-existing tax sharing agreement between the Predecessor and the Parent. With the completion of the IPO on October 30, 2013, the Partnership is now treated as a pass-through entity for U.S. federal income tax purposes. As a result, all income, expenses, gains, losses and tax credits generated flow through to its owners and, accordingly, do not result in a provision for U.S. federal income taxes and certain state income taxes.
The Partnership is generally not subject to U.S. state and federal income tax, with the exception in certain domestic jurisdictions based on the Partnership’s sourced taxable income. The Partnership’s taxable income or loss, which may vary substantially from the reported net income or loss, is includable in the U.S. federal and state income tax returns of each unitholder.
The income tax provision (benefit) attributable to operations is summarized as follows: 
 
Years Ended December 31,
 
2015
 
2014
 
2013
Current
 
 
 
 
 
U.S. Federal income tax
$
162

 
$
95

 
$
8,572

State and local income tax
1,072

 
1,499

 
3,063

Foreign income taxes
435

 
1,448

 
755

Total current income tax provision
1,669

 
3,042

 
12,390

Deferred
 
 
 
 
 
U.S. Federal income tax
39

 
(11
)
 
(3,420
)
State and local income tax
(48
)
 
1,618

 
(2,358
)
Foreign income taxes
156

 
860

 
(2,353
)
Total deferred income tax provision (benefit)
147

 
2,467

 
(8,131
)
Total income tax provision
$
1,816

 
$
5,509

 
$
4,259



U.S. and international components of income (loss) before income taxes were as follows:
 
Years Ended December 31,
 
2015
 
2014
 
2013
United States
$
77,993

 
$
120,470

 
$
(15,772
)
Foreign
2,171

 
7,853

 
(9,807
)
Total income (loss) before income taxes
$
80,164

 
$
128,323

 
$
(25,579
)

Reconciliations of the statutory U.S. federal income tax to the effective income tax for operations are as follows: 
 
Years Ended December 31,
 
2015
 
2014
 
2013
Statutory U.S. Federal income tax at 35%
$
28,058

 
$
44,913

 
$
(8,951
)
Partnership (income) losses not subject to tax
(27,076
)
 
(42,843
)
 
10,854

State and local income taxes, net of federal tax
1,003

 
3,111

 
173

Foreign income tax (benefit) provision
(169
)
 
328

 
1,520

Transaction costs
—

 
—

 
(55
)
Other, including non-recurring items
—

 
—

 
718

Total income tax provision
$
1,816

 
$
5,509

 
$
4,259


In December 2015, the Partnership adopted on a prospective basis ASU 2015-17 Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes("ASU 2015-17") which eliminates the requirement to present deferred tax assets and liabilities as current and noncurrent in a classified balance sheet and instead requires that all deferred tax assets and liabilities be classified as noncurrent. The Partnership elected not to apply ASU 2015-17 on a retroactive basis as the effect would not have been significant to any previous Consolidated Balance Sheets.
The components of the deferred tax assets (liabilities) were as follows: 
 
As of December 31,
 
2015 (1)
 
2014
Deferred tax assets (liabilities)
 
 
 
Bad debts
$
62

 
$
102

Inventories
110

 
580

Compensation
296

 
108

Depreciation and amortization
(18,115
)
 
(18,338
)
Other differences, net
2,996

 
3,051

Valuation allowance
(411
)
 
(434
)
Net deferred tax (liabilities)
$
(15,062
)
 
$
(14,931
)
Classified in the Consolidated Balance Sheets as follows:
 
 
 
Net current deferred tax asset (1)
$
—

 
$
895

Net long-term deferred tax (liability)
$
(15,062
)
 
$
(15,826
)

(1) In December 2015, the Partnership adopted ASU 2015-17 Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes on a prospective basis
As of December 31, 2015, the Partnership had foreign net operating loss carryforwards of $10.0 million, and foreign investment tax credit carryforwards of $1.2 million, all of which were generated in Canada, which begin to expire in 2033. The Partnership’s foreign subsidiaries record investment tax credits under the deferral method.

The Predecessor was not a separate taxable entity for U.S. federal and certain state income tax purposes and its results are included in the consolidated U.S. federal and certain state income tax returns of Lexa International Corporation, which is the sole stockholder of the Parent. Income tax provisions and benefits, related tax payments, and current and deferred tax balances have been prepared as if the Predecessor operated as a stand-alone taxpayer for all periods presented in accordance with the tax sharing agreement between the Predecessor and the Parent. Under the tax sharing agreement, the Predecessor was obligated to pay U.S. federal and certain state taxes to the Parent. In the event that the Parent does not have a consolidated liability for U.S. federal or certain state taxes, the Predecessor was not obligated to pay the Parent for such taxes and all such amounts are reflected as capital contributions. For the period from January 1, 2013 through October 29, 2013, the Predecessor received $18.8 million of non-cash capital contributions from its Parent under the tax sharing agreement.
As of December 31, 2015, the Partnership has not provided deferred Canadian withholding taxes on accumulated Canadian earnings of $46.2 million for certain Canadian subsidiaries which are indefinitely reinvested outside the U.S. The unrecognized deferred withholding tax liability associated with these earnings is $2.3 million at December 31, 2015.