INCOME TAXES

6 Months Ended

Mar. 31, 2019

Income Tax Disclosure [Abstract]

INCOME TAXES

INCOME TAXES

During the three months ended March 31, 2019, the Company recognized a tax provision of $3,194 on income before taxes from continuing operations of $9,684, compared to a tax provision of $1,237 on income before taxes from continuing operations of $3,188, in the comparable prior year quarter. The current year included net discrete tax benefits of $97. The prior year quarter results included acquisition costs of $814 ($378, net of tax) and discrete and certain other tax provisions, net, that affect comparability of $368. Excluding these items, the effective tax rates for the quarters ended March 31, 2019 and 2018 were 34.0% and 32.6%, respectively.

During the six months ended March 31, 2019, the Company recognized a tax provision of $8,406 on Income before taxes from continuing operations of $23,649, compared to a tax benefit of $23,667 on Income before taxes from continuing operations of $1,115 in the comparable prior year period. The six month period ended March 31, 2019 included net discrete tax provisions of $370. The six month period ended March 31, 2018 included net discrete tax benefits of $22,650 primarily related to the December 22, 2017 Tax Cuts and Jobs Act ("TCJA") associated with the revaluation of deferred tax liabilities, $3,999 ($2,726 net of tax) of acquisition costs, and $2,614 ($248 net of tax) of charges related to cost of life insurance benefits. Excluding these items, the effective tax rates for the six months ended March 31, 2019 and 2018 were 34.0% and 33.9%, respectively.

On December 22, 2017, the TCJA was signed into law, and, among other changes, reduced the federal statutory tax rate from 35.0% to 21.0%. In accordance with U.S. GAAP for income taxes, as well as SEC Staff Accounting Bulletin No. 118 (“SAB 118”), the Company made a reasonable estimate of the impacts of the TCJA and recorded this estimate in its results for the year ended September 30, 2018. SAB 118 allows for a measurement period of up to one year, from the date of enactment, to complete the Company’s accounting for the impacts of the TCJA. Our analysis under SAB 118 was completed in December 2018 and resulted in no material adjustments to the provision amounts recorded as of September 30, 2018.