Company: TENB
Filing Date: 2025-02-24
Form Type: 10-K
Source: 0001660280-25-000034
Chunk: 145

Company: Tenable Holdings, Inc.
Filing Date: 2025-02-24
Form: 10-K
Item: Item 8
Chunk 145
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2.5 million of the federal and state valuation allowance, which was recorded as a component of our deferred tax benefit.We restructured our operations in Israel through intercompany transactions, which resulted in $1.2 million and $2.7 million of current tax expense in 2024 and 2022, respectively.Beginning in 2024, we were an applicable taxpayer for the purposes of BEAT for the first time, which resulted in $3.3 million of current tax expense in 2024.The items accounting for the difference between income taxes computed at the federal statutory rate and our effective tax rate were as follows:Year Ended December 31,202420232022U.S. federal statutory tax rate21.0 %21.0 %21.0 %State and local taxes(0.9)1.9 3.1 Research and development tax credit25.5 8.4 4.3 Stock-based compensation(13.6)(11.3)7.0 Foreign tax rate differential35.4 (1.7)(4.0)Change in valuation allowance(81.7)(34.0)(28.3)Gain on intercompany sale, net of losses(2.1)(1.4)(2.9)Foreign withholding tax(24.8)(5.4)(3.3)Foreign deferred FX remeasurement(20.5)9.0 (4.4)GILTI(1.7)— — BEAT(17.6)— — Transaction costs(3.6)(1.0)(0.6)Non-deductible expenses(5.3)(1.5)(0.4)Other(2.3)(0.3)0.4 Effective tax rate(92.2)%(16.3)%(8.1)%We maintain a valuation allowance on certain U.S. federal, state and foreign deferred tax assets as the realization of our deferred tax assets is dependent upon future earnings, if any, the timing and amount of which are uncertain. In 2024, our valuation allowance increased by $16.0 million, primarily related to our 2024 loss before income taxes and U.S. R&D tax credits.

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The components of the deferred tax assets and liabilities were as follows: December 31,(in thousands)20242023Deferred tax assets:Net operating losses$153,781 $