XML 28 R17.htm IDEA: XBRL DOCUMENT v3.10.0.1
Income Taxes
6 Months Ended
Jun. 30, 2018
Income Tax Disclosure [Abstract]  
Income Taxes
Income Taxe
The components of income (loss) before income taxes are as follows: 
 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
Income (Loss) Before Income Taxes:
 
2018
 
2017
 
2018
 
2017
 
 
 
 
 
 
 
 
 
Ireland
 
$
(10,962
)
 
$
2,684

 
$
(15,889
)
 
$
9,348

United States
 
7,019

 
34,651

 
(2,816
)
 
66,661

France
 
163

 
(1,038
)
 
362

 
(5,263
)
Total income (loss) before income taxes
 
$
(3,780
)
 
$
36,297

 
$
(18,343
)
 
$
70,746

 
The items accounting for the difference between the income tax provision computed at the statutory rate and the Company’s effective tax rate are as follows:
 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
Income Tax Rate Reconciliation:
 
2018
 
2017
 
2018
 
2017
 
 
 
 
 
 
 
 
 
Statutory tax rate  
 
12.5
 %

12.5
 %
 
12.5
 %
 
12.5
 %
International tax rates differential
 
(1.5
)%

20.4
 %
 
6.8
 %
 
18.7
 %
Change in valuation allowance
 
(39.4
)%

0.6
 %
 
(11.9
)%
 
1.3
 %
Change in fair value of nondeductible contingent consideration
 
67.6
 %

(13.1
)%
 
10.9
 %
 
(10.2
)%
Nondeductible stock-based compensation
 
(4.7
)%

 %
 
(1.8
)%
 
 %
Unrecognized tax benefits
 
(7.6
)%

 %
 
(2.8
)%
 
 %
State and local income taxes, net of federal
 
1.0
 %

 %
 
0.3
 %
 
 %
Change in U.S. tax law
 
 %
 
 %
 
 %
 
 %
Other
 
(18.9
)%

(0.1
)%
 
0.6
 %
 
0.2
 %
Effective income tax rate
 
9.0
 %

20.3
 %
 
14.6
 %
 
22.5
 %
 
 
 
 
 
 
 
 
 
Income tax (benefit) provision - at statutory tax rate
 
$
(473
)
 
$
4,537

 
$
(2,293
)
 
$
8,843

International tax rates differential
 
57

 
7,399

 
(1,241
)
 
13,259

Change in valuation allowance
 
1,491

 
230

 
2,181

 
914

Change in fair value of nondeductible contingent consideration
 
(2,556
)
 
(4,757
)
 
(2,005
)
 
(7,232
)
Nondeductible stock-based compensation
 
176

 

 
336

 

Unrecognized tax benefits
 
288

 

 
508

 

State and local income taxes, net of federal
 
(38
)
 

 
(57
)
 

Change in U.S. tax law
 

 

 

 

Other
 
713

 
(39
)
 
(98
)
 
125

Income tax (benefit) provision - at effective income tax rate
 
$
(342
)
 
$
7,370

 
$
(2,669
)
 
$
15,909

 

The income tax benefit and provision for the three months ended June 30, 2018 and 2017 was $342 and $7,370, respectively. The decrease in the income tax provision for the three months ended June 30, 2018 is primarily the result of a reduction in the amount of taxable income earned in the United States and Ireland and was partially offset by a decrease in the amount of nondeductible contingent consideration when compared to the same period in 2017. We have not made any additional measurement period adjustments related to US federal tax reform legislation (the “Tax Act”) enacted on December 22, 2017 during the three months ended June 30, 2018. We are still evaluating the provisions of the Tax Act and its impact on our condensed consolidated financial statements.
The income tax benefit and provision for the six months ended June 30, 2018 and 2017 was $2,669 and $15,909, respectively. The decrease in the income tax provision for the six months ended June 30, 2018 is primarily the result of decreases in the amount of taxable income in the United States and Ireland, and was partially offset by a reduction in the amount of nondeductible contingent consideration when compared to the same period in 2017. We have not made any additional measurement period adjustments related to the Tax Act during the six months ended June 30, 2018. We are still evaluating the provisions of the Tax Act and its impact on our condensed consolidated financial statements.