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Income taxes	6 Months Ended
Jun. 30, 2020
Income taxes
Income taxes	7. Income taxes At the end of each interim period, the Company estimates the effective tax rate expected to be applicable for the full fiscal year. The estimate reflects, among other items, management’s best estimate of operating results. It does not include the estimated impact of foreign exchange rates or unusual and/or infrequent items, which may cause significant variations in the customary relationship between income tax expense and income before income taxes. For the three months ended June 30, 2020, income tax expense was $27,656,000 compared to an income tax expense of $15,401,000 for the same period in 2019. Our effective tax rate was 34% in the second quarter of 2020, compared to 22% in the second quarter of 2019. The effective tax rate increased in the three months ended June 30, 2020 compared to the three months ended June 30, 2019 primarily due to final regulations published on April 8, 2020 by the United States Department of Treasury and the Internal Revenue Service (“IRS”) that clarified income tax benefits related to hybrid financing arrangements that the Company recorded in 2019 and the first quarter of 2020 would not be deductible. The Company had recorded net income tax benefits of approximately $6,228,000 in the twelve months ended December 31, 2019 and $1,072,000 in the three months ended March 31, 2020 which are no longer deductible. In addition, the Company had a smaller income tax recovery related to decreases in uncertain tax positions in 2020 than it did in 2019. Offsetting these increases was the reduced impact of the US tax reform. For the six months ended June 30, 2020, income tax expense was $33,304,000, compared to an income tax expense of $22,040,000 for the same period in 2019. The effective tax rate was 30% for the six months ended June 30, 2020, compared to 23% for the six months ended June 30, 2019. The effective tax rate increased in the six months ended June 30, 2020 compared to the six months ended June 30, 2019 primarily due to the reasons described above.

Income taxes

6 Months Ended

Jun. 30, 2020

7. Income taxes

At the end of each interim period, the Company estimates the effective tax rate expected to be applicable for the full fiscal year. The estimate reflects, among other items, management’s best estimate of operating results. It does not include the estimated impact of foreign exchange rates or unusual and/or infrequent items, which may cause significant variations in the customary relationship between income tax expense and income before income taxes.

For the three months ended June 30, 2020, income tax expense was $27,656,000 compared to an income tax expense of $15,401,000 for the same period in 2019. Our effective tax rate was 34% in the second quarter of 2020, compared to 22% in the second quarter of 2019.

The effective tax rate increased in the three months ended June 30, 2020 compared to the three months ended June 30, 2019 primarily due to final regulations published on April 8, 2020 by the United States Department of Treasury and the Internal Revenue Service (“IRS”) that clarified income tax benefits related to hybrid financing arrangements that the Company recorded in 2019 and the first quarter of 2020 would not be deductible. The Company had recorded net income tax benefits of approximately $6,228,000 in the twelve months ended December 31, 2019 and $1,072,000 in the three months ended March 31, 2020 which are no longer deductible. In addition, the Company had a smaller income tax recovery related to decreases in uncertain tax positions in 2020 than it did in 2019. Offsetting these increases was the reduced impact of the US tax reform.

For the six months ended June 30, 2020, income tax expense was $33,304,000, compared to an income tax expense of $22,040,000 for the same period in 2019. The effective tax rate was 30% for the six months ended June 30, 2020, compared to 23% for the six months ended June 30, 2019.

The effective tax rate increased in the six months ended June 30, 2020 compared to the six months ended June 30, 2019 primarily due to the reasons described above.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

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