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Income Taxes
3 Months Ended
Sep. 30, 2014
Income Tax Disclosure [Abstract]  
Income Taxes
Income Taxes
Accrued Federal income taxes of approximately $2.9 million were included in accrued liabilities at September 30, 2014. Prepaid Federal, state and local income taxes of approximately $9.7 million were included in deferred income taxes and other current assets at June 30, 2014. The prepaid balance at June 30, 2014 was due to the impact of the loss on the sale of our candle manufacturing and marketing operations.
The gross tax contingency reserve at September 30, 2014 was approximately $1.0 million and consisted of tax liabilities of approximately $0.6 million and penalties and interest of approximately $0.4 million. We have not classified any of the gross tax contingency reserve as current liabilities as none of these amounts are expected to be resolved within the next 12 months. The entire liability of approximately $1.0 million was included in other noncurrent liabilities. We expect that the amount of these liabilities will change within the next 12 months; however, we do not expect the change to have a significant effect on our financial position or results of operations. We recognize interest and penalties related to these tax liabilities in income tax expense.