Company: EVC
Filing Date: 2025-03-06
Form Type: 10-K
Source: 0000950170-25-034661
Chunk: 229

Company: ENTRAVISION COMMUNICATIONS CORP
Filing Date: 2025-03-06
Form: 10-K
Item: Item 1B
Chunk 229
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 of $11.9 million.  In addition, the Company has determined that it is more likely than not its foreign tax credits carryovers of $1.2 million will not be utilized and accordingly has recorded a valuation allowance of $1.2 million. The Company addresses uncertainty in tax positions according to the provisions of ASC 740, “Income Taxes”, which clarifies the accounting for income taxes by establishing the minimum recognition threshold and a measurement attribute for tax positions taken or expected to be taken in a tax return in order to be recognized in the financial statements. The following table summarizes the activity related to the Company’s unrecognized tax benefits (in millions):  

        Amount

        Balance at December 31, 2022
         
        $
        2.9

        Decrease in balances related to prior year tax positions  

        (0.3
        )

        Interest accrued

        0.2

        Balance at December 31, 2023
         
        $
        2.8

        Decrease in balances related to prior year tax positions  

        (3.0
        )

        Increase in balances related to current year tax positions 

        17.5

        Balance at December 31, 2024
         
        $
        17.3

      As of December 31, 2024, the Company had $17.3 million of gross unrecognized tax benefits for uncertain tax positions, of which all $18.0 million would affect the effective tax rate if recognized.     As of December 31, 2024, the Company does not anticipate that the amount of unrecognized tax benefits to decrease within the next 12 months. The Company recognizes interest and penalties related to income tax matters as a component of income tax expense. As of December 31, 2024, the Company had no accrued interest and penalties related to uncertain tax positions. The Company is subject to taxation in the United States, various states and various foreign jurisdictions. The tax years 2021 to 2024 and 2020 to 2023 remain open to examination by federal and state taxing jurisdictions, respectively. For foreign jurisdictions, the tax years 2011 to 2023 may remain open to examination by certain foreign jurisdictions. The Company intends to indefinitely reinvest its unremitted earnings in its foreign subsidiaries. The Company has not determined at this time an estimate of total amount of other entities unremitted earnings, as it is not practical at this time. 

13. COMMITMENTS