Income Taxes



	Three months ended March 31,
	2017		2016
	(In millions)
Income tax provision	$	3.3	$	3.5

In the first quarter of fiscal 2017, the income tax provision recorded approximates the expected tax that would be calculated by applying the federal statutory rate to the Company’s income before income taxes primarily due to offsetting permanent items and adjustments in connection with the adoption of new accounting guidance associated with stock compensation.

In the first quarter of fiscal 2016, the income tax provision recorded differs from the expected tax that would be calculated by applying the federal statutory rate to the Company's income before income taxes primarily due to state income taxes and certain expenditures which are permanently not deductible for tax purposes.

A valuation allowance is required when it is more-likely-than-not that all or a portion of deferred tax assets may not be realized. Assessing the need for, or sufficiency of, a valuation allowance requires management to evaluate, on a quarterly basis, all available evidence, both positive and negative, including the recent trend of losses before income taxes. The Company will continue to evaluate whether future results are less than projected and if a valuation allowance may be required to reduce deferred tax assets, which could have a material impact on the Company’s results of operations. As of March 31, 2017, the Company continued to believe that the weight of the positive evidence outweighed the negative evidence regarding the realization of the net deferred tax assets.

As of March 31, 2017, the total balance associated with uncertain income tax positions was a net liability of $30.4 million. Accrued interest and penalties related to uncertain income tax positions was $2.7 million at March 31, 2017. Due to the high degree of uncertainty regarding the timing of potential future cash flows associated with the respective assets and liabilities, the Company is unable to make a reasonably reliable estimate of the amount and period in which these assets and liabilities might be received or paid.