XML 24 R14.htm IDEA: XBRL DOCUMENT v3.7.0.1
INCOME TAXES
6 Months Ended
Jun. 30, 2017
Income Tax Disclosure [Abstract]  
INCOME TAXES
INCOME TAXES
The Company determines the tax provision for interim periods using an estimate of our annual effective tax rate, adjusted for discrete items, if any, that are taken into account in the relevant period. Each quarter we update our estimate of the annual effective tax rate, and if our estimated tax rate changes, we make a cumulative adjustment.
Our effective tax rate for the three months ended June 30, 2017 decreased to 38.5% from 45.9% for the three months ended June 30, 2016. During the three months ended June 30, 2016 the identification of nondeductible facilitative transaction costs and adjustments in our estimated state effective tax rate resulted in combined additional income tax expense of $0.4 million, increasing the period's effective tax rate by 11.2%. Conversely, during the three months ended June 30, 2017 we experienced a shortfall tax expense related to restricted stock of $0.2 million that increased the effective rate by 6.1% due to the adoption of ASU 2016-09 as detailed in Note 15.
Our effective tax rate for the six months ended June 30, 2017 decreased to 55.0% compared to 88.9% for the six months ended June 30, 2016. During the six months ended June 30, 2016 the identification of nondeductible facilitative transaction costs resulted in additional income tax expense of $1.4 million, increasing the period's effective tax rate by 49.1%. Conversely, during the six months ended June 30, 2017 we experienced a shortfall tax expense related to restricted stock of $0.9 million that increased the effective tax rate by 22.6% due to the adoption of ASU 2016-09 as detailed in Note 15.