Income Taxes (Tables)

12 Months Ended

Dec. 31, 2013

The components of the provision for income taxes are as follows for 2013, 2012 and 2011 (in thousands):



	2013		2012		2011
Current tax provision:
Federal	$	—	$	49	$	—
State	561		559		260
	561		608		260
Deferred tax provision:
Federal	3,923		2,591		1,945
State	283		16		(425		)
	4,206		2,607		1,520
Total provision for income taxes	$	4,767	$	3,215	$	1,780

Schedule of Effective Income Tax Rate Reconciliation

The reconciliation of income tax provision that would result from applying the federal statutory rate to pre-tax income as shown in the accompanying consolidated statements of income is as follows for 2013, 2012 and 2011 (in thousands):



	2013			2012			2011
Federal income expense at federal rate	$	3,887		$	2,848		$	1,907
State income tax, net of related federal income tax benefit	653			420			257
Permanent items—primarily follow-on transaction costs	374			83			(10		)
Foreign rate differential	26			106			—
Change in blended state rate	—			—			(25		)
Other items, net	(173		)	(242		)	(349		)
Provision for income taxes	$	4,767		$	3,215		$	1,780
Effective income tax rate	41.7		%	38.4		%	31.7		%

Schedule of Deferred Tax Assets and Liabilities

Deferred income taxes arise because of the differences in the book and tax bases of certain assets and liabilities. Deferred income tax liabilities and assets consist of the following (in thousands):



	2013			2012
Noncurrent deferred tax assets (liabilities):
Loss carry forwards	$	2,745		$	2,445
Deferred rent and franchise revenue	11,850			9,622
Property, equipment and intangible assets	(19,342		)	(11,061		)
Stock-based compensation	2,442			994
Alternative minimum tax credits	208			256
Interest rate swap	—			38
Other	951			497
Total noncurrent net deferred tax assets (liabilities)	(1,146		)	2,791
Current deferred tax assets (liabilities):
Inventory smallwares	(1,737		)	(1,459		)
Other	607			436
Total current deferred tax liabilities	(1,130		)	(1,023		)
Net deferred tax assets (liability)	$	(2,276	)	$	1,768