INCOME TAXES (Tables)

12 Months Ended

Mar. 31, 2023

INCOME TAXES [Abstract]

Reconciliation of Income Taxes to Statutory Federal Income Tax Rate

A reconciliation of income taxes computed at the statutory federal income tax rate of 21.0% to the provision for income taxes included in the consolidated statements of operations is as follows (in thousands, except percentages):

	Year Ended March 31,
	2023			2022			2021
Income tax expense computed at the U.S. statutory federal rate	$	34,224		$	30,845		$	22,450
State income tax expense—net of federal benefit		8,754			8,937			6,941
Non-deductible executive compensation		1,708			1,749			2,052
Other		(1,068	)		(247	)		1,066
Provision for income taxes	$	43,618		$	41,284		$	32,509
Effective income tax rate		26.8	%		28.1	%		30.4	%

Components of Provision for Income Taxes

The components of the provision for income taxes are as follows (in thousands):

	Year Ended March 31,
	2023			2022			2021
Current:
Federal	$	30,928		$	32,309		$	26,054
State		10,110			11,681			9,882
Foreign		499			894			770
Total current expense		41,537			44,884			36,706
Deferred:
Federal		1,301			(3,289	)		(3,067	)
State		970			(370	)		(1,096	)
Foreign		(190	)		59			(34	)
Total deferred expense (benefit)		2,081			(3,600	)		(4,197	)
Provision for income taxes	$	43,618		$	41,284		$	32,509

Components of Deferred Tax Assets and Liabilities

Significant components of our deferred tax assets and liabilities were as follows (in thousands):

	March 31,
	2023			2022
Deferred tax assets:
Accrued vacation	$	2,251		$	2,391
Deferred revenue		5,448			5,090
Allowance for credit losses		1,063			951
Restricted stock		654			616
Other deferred tax assets		1,697			743
Accrued bonus		2,323			2,532
Lease liabilities		3,939			1,857
Other credits and carryforwards		277			249
Gross deferred tax assets		17,652			14,429
Less: valuation allowance		(112	)		(250	)
Net deferred tax assets		17,540			14,179
Deferred tax liabilities:
Property and equipment		(2,926	)		(2,295	)
Operating leases		(3,789	)		(2,759	)
Prepaid expenses		(1,729	)		(887	)
Right-of-use assets		(3,885	)		(1,869	)
Tax deductible goodwill		(2,244	)		(1,319	)
Total deferred tax  liabilities		(14,573	)		(9,129	)
Net deferred tax asset	$	2,967		$	5,050