Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

Significant components of net deferred tax assets and net deferred tax liabilities

Significant components of the net deferred tax assets and net deferred tax liabilities as reflected on the Consolidated Balance Sheets are as follows:



	December 31,
	2015			2014
	(in thousands)
Deferred tax liabilities:
Prepaid assets	$	(3,952	)	$	(9,291	)
Depreciation	(1,741		)	(8,083		)
Software development costs	(2,699		)	(2,252		)
Total deferred tax liabilities	(8,392		)	(19,626		)

Deferred tax assets:
Accrued incentive compensation	8,818			7,204
Net operating loss carryforward	1,463			1,556
Workers’ compensation accruals	7,586			6,308
Accrued rent	1,229			1,058
Stock-based compensation	4,553			3,615
Intangibles	1,159			1,575
Minority investment impairment	1,016			1,003
Other	564			551
Total deferred tax assets	26,388			22,870
Valuation allowance	(1,020		)	(1,003		)
Total net deferred tax assets	25,368			21,867

Net deferred tax assets	$	16,976		$	2,241

Components of income tax expense

The components of income tax expense are as follows:



	Year ended December 31,
	2015			2014			2013
	(in thousands)
Current income tax expense:
Federal	$	35,221		$	18,034		$	20,476
State	5,741			3,322			3,512
Total current income tax expense	40,962			21,356			23,988
Deferred income tax (benefit) expense:
Federal	(13,632		)	(1,764		)	(2,258		)
State	(1,101		)	31			(30		)
Total deferred income tax benefit	(14,733		)	(1,733		)	(2,288		)
Total income tax expense	$	26,229		$	19,623		$	21,700

Reconciliation of income tax expense

The reconciliation of income tax expense computed at U.S. federal statutory tax rates to the reported income tax expense from continuing operations is as follows:



	Year ended December 31,
	2015			2014			2013
	(in thousands)
Expected income tax expense at 35%	$	22,967		$	16,670		$	18,806
State income taxes, net of federal benefit	2,696			2,204			2,286
Nondeductible expenses	1,669			1,939			1,993
Section 199 benefits	(627		)	(592		)	(2,531		)
Expense Management non-cash impairment	—			—			797
Valuation allowance related to TRE impairment	—			—			938
Research and development credit	(530		)	(455		)	(534		)
Other, net	54			(143		)	(55		)
Reported total income tax expense	$	26,229		$	19,623		$	21,700