Company: MTZ
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0000015615-25-000021
Chunk: 1648

Company: MASTEC INC
Filing Date: 2025-02-28
Form: 10-K
Item: Item 1C
Chunk 1648
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 and deferred tax assets.The Company’s deferred tax assets for its state net operating loss carryforwards, which may be carried forward from 5 years to indefinitely, depending on the jurisdiction, totaled approximately $28.7 million and $24.7 million as of December 31, 2024 and 2023, respectively.  The Company’s deferred tax assets for its foreign net operating loss carryforwards, which are primarily related to the Company’s Canadian operations, totaled approximately $56.0 million and $59.2 million as of December 31, 2024 and 2023, respectively.  The Canadian net operating loss carryforwards, which make up the majority of the foreign net operating loss carryforwards, begin to expire in 2026.  As of both December 31, 2024 and December 31, 2023, the Company had no deferred tax assets for its federal net operating loss carryforwards.The Company is generally free of additional U.S. federal tax consequences on distributed foreign subsidiary earnings due to a dividends received deduction implemented as part of the move to a territorial tax system in connection with the Tax Cuts and Jobs Act of 2017.  The Company has generally not made a provision for income taxes on unremitted foreign earnings because such earnings are insignificant and are intended to be indefinitely reinvested outside the United States.  The Company expects that domestic cash resources will be sufficient to fund its domestic operations and cash commitments in the future.A reconciliation of the U.S. statutory federal income tax rate related to pretax income to the effective tax rate for the periods indicated is as follows:For the Years Ended December 31,202420232022U.S. statutory federal rate applied to pretax income21.0 %21.0 %21.0 %State and local income taxes, net of federal benefit1.4 4.3 8.8 Foreign tax rate differential0.2 (1.8)1.3 Non-deductible expenses5.6 (14.6)(1.6)Goodwill and intangible assets0.0 1.8 (0.7)Change in tax rate(0.3)(5.6)12.7 Compensation and benefits1.0 6.2 6.7 Non-controlling interest(3.0)0.7 (0.4)Other3.8 0.7 (7.6)Tax credits