Company: CODI-PB
Filing Date: 2025-02-27
Form Type: 10-K
Source: 0001345126-25-000015
Chunk: 266

Company: Compass Diversified Holdings
Filing Date: 2025-02-27
Form: 10-K
Item: Item 16
Chunk 266
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 at subsidiaries22.4 (6.7)27.6 United States tax on foreign income(1.9)(1.2)0.6 Dividend (net of dividend received deduction)(0.8)(42.1)5.5 Utilization of tax credits(5.4)20.0 (13.0)Tax effect – loss on sale of Crosman5.7 — — Effect of classification of assets held for sale— — 14.9 Other0.1 (4.8)2.6 Effective income tax rate53.7 %(102.0)%71.8 %

F-47

COMPASS DIVERSIFIED HOLDINGSNOTES TO CONSOLIDATED FINANCIAL STATEMENTS 

A reconciliation of the amount of unrecognized tax benefits for 2024, 2023 and 2022 are as follows (in thousands): Balance at January 1, 2022$1,254 Additions for current years’ tax positions91 Additions for prior years’ tax positions 15 Reductions for prior years’ tax positions (71)Reductions for expiration of statute of limitations$(73)Balance at December 31, 2022$1,216 Additions for current years’ tax positions28,325 Additions for prior years’ tax positions 33 Reductions for prior years' tax positions(184)Reductions for expiration of statute of limitations(68)Balance at December 31, 2023$29,322 Additions for current years’ tax positions7,802 Additions for prior years’ tax positions — Reductions for prior years' tax positions(25)Reductions for expiration of statute of limitations(73)Balance at December 31, 2024$37,026 The unrecognized tax benefits are recorded in the consolidated balance sheet in other noncurrent liabilities. Included in the unrecognized tax benefits at December 31, 2024 and 2023 is $1.6 million and $1.3 million, respectively, of tax benefits that, if recognized, would affect the Company’s effective tax rate. Also included in the unrecognized tax benefits at December 31, 2024 and 2023 are $7.4 million and $27.9 million, respectively, of unrecognized tax benefits that, if recognized, would not affect the Company's effective tax rate but would result in an adjustment to discontinued operations in future periods