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Income Taxes
9 Months Ended
Mar. 29, 2014
Income Taxes [Abstract]  
Income Taxes [Text Block]
INCOME TAXES

The effective tax rate for the three months ended March 29, 2014 was 23.3% compared to 30.1% for the three months ended March 30, 2013. The effective tax rate for the nine months ended March 29, 2014 was 31.3%, compared to 27.5% for the nine months ended March 30, 2013. The effective tax rates for the three and nine month periods ended March 29, 2014 were impacted by the transaction costs, changes to the estimated jurisdictional mix of income and the new corporate structure attributable to the acquisition of Elan. Additionally, the effective tax rate for the first nine months of fiscal 2014 was unfavorably impacted by Israel tax rate changes in the amount of $1.8 million and favorably impacted by United Kingdom tax rate changes in the amount of $4.7 million as discussed further below. The effective tax rate for the first nine months of fiscal 2013 was favorably affected by a reduction in the reserves for uncertain tax liabilities, recorded in accordance with ASC Topic 740 "Income Taxes", in the amount of $7.5 million related to various audit resolutions and statute expirations.
In fiscal 2011, Israel enacted new tax legislation that reduced the effective tax rate to 10% for 2011 and 2012, 7% for 2013 and 2014, and 6% thereafter for certain qualifying entities that elect to be taxed under the new legislation. This legislation was rescinded as announced in the Official Gazette on August 5, 2013. The new legislation enacted a 9% rate for certain qualifying entities that elect to be taxed under the new legislation. The Company has two entities that had previously elected the new tax legislation for years after fiscal 2011. For all other entities that do not qualify for this reduced rate, the tax rate has been increased from 25% to 26.5%. These rates were applicable to the Company for the nine months ended March 29, 2014 and have unfavorably impacted the effective tax rate in the amount of $1.8 million.
In July 2013, the United Kingdom passed legislation reducing the statutory rate to 21% and 20% effective April 1, 2014 and April 1, 2015, respectively. These rates were applicable to the Company for the nine months ended March 29, 2014 and have favorably impacted the effective tax rate in the amount of $4.7 million.
In December 2013, Mexico enacted legislation to rescind the scheduled rate reductions and maintain the 30% corporate tax rate for 2014 and future years. This rate was applicable to the Company as of the third quarter of fiscal 2014 and did not have a material impact.
The Company's tax rate is subject to adjustment over the balance of the fiscal year due to, among other things, income tax rate changes by governments; the jurisdictions in which the Company's profits are determined to be earned and taxed, and the relative amounts of income in these jurisdictions; changes in the valuation of the Company's deferred tax assets and liabilities; adjustments to estimated taxes upon finalization of various tax returns; the resolution of any pending or future tax audit, examination or challenge; adjustments to the Company's interpretation of transfer pricing standards, changes in available tax credits, grants and other incentives; changes in stock-based compensation expense; changes in tax laws or the interpretation of such tax laws (for example, proposals for fundamental U.S. international tax reform); changes in U.S. generally accepted accounting principles; expiration or the inability to renew tax rulings or tax holiday incentives; and the repatriation of earnings with respect to which the Company has not previously provided for taxes.
    
The U.S. Internal Revenue Service is currently auditing fiscal years 2009 and 2010, and the Israeli Tax Authority is currently auditing fiscal years 2011 and 2012.  The Company cannot predict the outcome of these audits. It is reasonably possible that the audits could result in a material impact on unrecognized tax benefits or liabilities during the next twelve months; however, the Company currently cannot estimate the range of this potential impact.

The total amount of unrecognized tax benefits was $175.8 million and $122.3 million as of March 29, 2014 and June 29, 2013, respectively.
    
The total amount accrued for interest and penalties in the liability for uncertain tax positions was $38.5 million and $24.3 million as of March 29, 2014 and June 29, 2013, respectively.