Note 9 - Income Taxes

9 Months Ended

Aug. 31, 2024

Notes to Financial Statements

Income Tax Disclosure [Text Block]

Note 9: Income Taxes

Income tax expense for the three and nine months ended August 31, 2024 includes $2,937 and $4,147 of discrete tax benefit, respectively, relating to an excess tax benefit on U.S. stock compensation, as well as other various U.S. and foreign tax matters. Excluding the discrete tax benefit, the overall effective tax rate was 29.3 percent and 28.7 percent for the three and nine months ended August 31, 2024, respectively. 

Income tax expense for the three and nine months ended September 2, 2023 includes $6,243 and $9,130 of discrete tax expense, respectively, relating to various U.S. and foreign tax matters. Excluding the discrete tax expense, the overall effective tax rate was 27.1 percent and 28.5 percent for the three and nine months ended September 2, 2023, respectively.

As of  August 31, 2024, we had a liability of $13,368 recorded for gross unrecognized tax benefits (excluding interest) compared to $14,254 as of December 2, 2023. As of August 31, 2024 and December 2, 2023, we had accrued $6,622 and $6,310 of gross interest relating to unrecognized tax benefits, respectively.