Income Taxes (Tables)

12 Months Ended

Dec. 30, 2014

The components of the provision for income taxes are as follows for 2014, 2013 and 2012 (in thousands):



	2014		2013		2012
Current tax provision:
Federal	$	—	$	—	$	49
State	792		561		559
	792		561		608
Deferred tax provision:
Federal	5,662		3,923		2,591
State	668		283		16
	6,330		4,206		2,607
Total provision for income taxes	$	7,122	$	4,767	$	3,215

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 2014, 2013 and 2012 (in thousands):



	2014			2013			2012
Federal income expense at federal rate	$	6,299		$	3,887		$	2,848
State income tax, net of related federal income tax benefit	972			653			420
Permanent differences	170			374			83
Foreign rate differential	6			26			106
Tax credits	(241		)	(149		)	—
Other items, net	(84		)	(24		)	(242		)
Provision for income taxes	$	7,122		$	4,767		$	3,215
Effective income tax rate	38.4		%	41.7		%	38.4		%

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):



	2014			2013
Noncurrent deferred tax assets (liabilities):
Loss carry forwards	$	743		$	2,745
Deferred rent and franchise revenue	14,454			11,850
Property, equipment and intangible assets	(26,514		)	(19,342		)
Stock-based compensation	2,847			2,442
Tax credit carry forwards	897			565
Other	1,061			594
Total noncurrent net deferred tax assets (liabilities)	(6,512		)	(1,146		)
Current deferred tax assets (liabilities):
Inventory smallwares	(2,405		)	(1,737		)
Other	702			607
Total current deferred tax liabilities	(1,703		)	(1,130		)
Net deferred tax assets (liability)	$	(8,215	)	$	(2,276	)