Income Taxes |
6 Months Ended |
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Jun. 30, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes In January 2015, the Company implemented an updated global corporate structure to more closely align with its global operations and future expansion plans outside of the United States. The new structure changed how the Company uses its intellectual property and implemented certain intercompany arrangements. The Company believes this may result in a reduction in its overall effective tax rate and other operational efficiencies. The revised structure resulted in the setup of a deferred tax liability in the amount of $67.8 million on the taxable gain created in the transaction. A deferred charge was recorded for the same amount representing the future income tax which will be amortized into income tax expense over five years. During the three and six months ended June 30, 2015, $1.5 million and $7.6 million was recorded to income tax expense, respectively. The amount of unrecognized tax benefits, included within “Other liabilities” on the consolidated balance sheets, increased $20.4 million in the six months ended June 30, 2015, from $0.4 million at December 31, 2014 to $20.8 million at June 30, 2015. The increase was primarily in connection with the implementation of the updated global corporate structure. During the three and six months ended June 30, 2015, $0.5 million and $2.3 million was recorded to income tax expense, respectively. The total amount of unrecognized tax benefits that, if recognized, would favorably affect the effective tax rate is $2.9 million at June 30, 2015. A deferred charge of $20.2 million was recorded representing the future income tax which will be amortized into income tax expense over five years. In addition, the Company is subject to examination in various jurisdictions related to income tax matters. The resolution of these matters, giving recognition to the recorded reserve, could have an adverse impact on the Company’s business. |