INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2015

Provision for Income Taxes

The provision for income taxes consists of the following:

	Year Ended December 31,
	2015			2014			2013
Current income taxes:
Federal	$	25,608,500		$	23,161,061		$	18,436,209
State		3,522,333			3,256,031			3,154,439
Total		29,130,833			26,417,092			21,590,648
Deferred income taxes:
Federal		(3,485,844	)		(2,295,450	)		(1,111,536	)
State		(328,930	)		(165,790	)		41,548
Total		(3,814,774	)		(2,461,240	)		(1,069,988	)
Total income tax provision	$	25,316,059		$	23,955,852		$	20,520,660

Deferred Income Tax Assets and Liabilities

Significant components of the Company’s deferred tax assets and liabilities were as follows at December 31:

	2015			2014
Deferred tax assets:
Stock-based compensation	$	2,175,291		$	1,836,673
Amortization of internal use software development costs		1,999,641			1,755,520
Federal benefit of state uncertain tax positions		1,110,917			767,867
Accrued vacation		894,591			854,463
State net operating loss carryforwards		457,485			341,794
Deferred rent		233,326			224,187
Allowance for doubtful accounts		178,015			184,675
Other		326,138			48,529
		7,375,404			6,013,708
Less: Valuation allowance		(412,821	)		(332,863	)
Total		6,962,583			5,680,845
Deferred tax liabilities:
Depreciation & capitalized internal use software and development costs		(4,421,900	)		(5,056,061	)
Nonrecurring gain on acquisition of business		(1,119,230	)		(1,121,326	)
Total		(5,541,130	)		(6,177,387	)
Net deferred tax asset (liability)	$	1,421,453		$	(496,542	)

Statutory Federal Income Tax Rate and Effective Income Tax Rate Reconciliation

The following table reconciles the statutory federal income tax rate and the effective income tax rate indicated by the consolidated statements of income:

	Year Ended December 31,
	2015			2014			2013
Statutory federal income tax rate		35.0	%		35.0	%		35.0	%
State income taxes		2.1			2.2			3.2
Nondeductible expenses		1.0			1.2			1.4
Uncertain tax positions		0.9			1.1			1.2
Federal and state tax credits		(1.2	)		(1.2	)		(2.0	)
Other		(0.2	)		(0.3	)		0.2
Effective federal and state income tax rate		37.6	%		38.0	%		39.0	%

Reconciliation of Unrecognized Income Tax Benefits

The following table provides a reconciliation of the beginning and ending amount of the consolidated liability for unrecognized income tax benefits (included in other long-term liabilities in the consolidated balance sheets) for the years ended December 31, 2015, 2014 and 2013:

	2015			2014			2013
Balance at January 1	$	2,797,671		$	1,760,434		$	688,575
Additions for tax positions of current years		1,093,963			1,072,333			632,309
Additions for tax positions of prior years		338,123			112,459			439,550
Expiration of the statute of limitations		(365,762	)		(126,918	)		-
Reductions for tax positions of prior years		(142,973	)		(20,637	)		-
Balance at December 31	$	3,721,022		$	2,797,671		$	1,760,434