Income Taxes (Tables)

12 Months Ended

Dec. 31, 2014

Schedule of Income before Income Tax, Domestic and Foreign

Income before provision for income taxes consisted of the following (in thousands):



	Year ended December 31,
	2014		2013		2012
Domestic	$	94,784	$	31,993	$	32,341
Foreign	95,585		61,146		51,955
Total Income before provision for income taxes	$	190,369	$	93,139	$	84,296

Schedule of Components of Income Tax Expense (Benefit)

The provision for income taxes consisted of the following (in thousands):



	Year Ended December 31,
	2014		2013			2012
Federal
Current	$	1,569	$	26		$	—
Deferred	37,570		24,262			22,382
	39,139		24,288			22,382
State
Current	2,162		1,235			438
Deferred	971		1,158			1,486
	3,133		2,393			1,924
Foreign
Current	1,596		3,113			1,173
Deferred	669		(950		)	126
	2,265		2,163			1,299
Provision for income taxes	$	44,537	$	28,844		$	25,605

Schedule of Effective Income Tax Rate Reconciliation

The differences between income taxes using the federal statutory income tax rate of 35% and our effective tax rate were as follows:



	Year Ended December 31,
	2014		2013		2012
U.S. federal statutory income tax rate	35.0	%	35.0	%	35.0	%
State income taxes, net of federal tax benefit	1.6		2.5		2.4
Impact of differences in foreign tax rates	(16.4	)	(20.4	)	(20.0	)
Goodwill Impairment	—		15.3		15.2
Stock-based compensation	1.0		0.5		(1.2	)
Other items not individually material	2.2		(1.9	)	(1.0	)
	23.4	%	31.0	%	30.4	%

Schedule of Deferred Tax Assets and Liabilities

As of December 31, 2014 and 2013, the significant components of our deferred tax assets and liabilities were (in thousands):



	Year Ended December 31,
	2014			2013
Deferred tax assets:
Net operating loss and capital loss carryforwards	$	33,202		$	39,978
Credit carryforwards	1,446			9,362
Reserves and accruals	32,888			26,729
Translation gains	637			48
Stock-based compensation	11,964			9,100
	80,137			85,217
Deferred tax liabilities:
Prepaid expenses	709			557
Depreciation and amortization	6,878			5,320
	7,587			5,877
Net deferred tax assets before valuation allowance	72,550			79,340
Valuation allowance	(32,498		)	(35,108		)
Net deferred tax assets	$	40,052		$	44,232

Schedule of Unrecognized Tax Benefits Rollforward

The changes in the balance of gross unrecognized tax benefits, which exclude interest and penalties, for fiscal year ended December 31, 2014, 2013, and 2012, is as follows (in thousands):



Unrecognized tax benefit as of December 31, 2011	$	15,472
Tax positions related to current year:
Additions for uncertain tax positions	5,087
Tax positions related to prior year:
Additions for uncertain tax positions	80
Unrecognized tax benefit as of December 31, 2012	20,639
Tax positions related to current year:
Additions for uncertain tax positions	6,110
Tax positions related to prior year:
Decreases for uncertain tax positions	(81		)
Unrecognized tax benefit as of December 31, 2013	26,668
Tax positions related to current year:
Additions for uncertain tax positions	6,659
Tax positions related to prior year:
Decreases for uncertain tax positions	(260		)
Unrecognized tax benefit as of December 31, 2014	$	33,067