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Income Taxes
6 Months Ended
Jun. 30, 2014
Income Tax Disclosure [Abstract]  
Income Taxes
Income Taxes
The effective tax rate for the second quarter of 2014 and 2013 was 30.7% and 29.9%, respectively. The rate for the second quarter of 2014 differs from the U.S. federal statutory rate of 35% primarily due to tax benefits of earnings in low tax foreign jurisdictions. The rate for the second quarter of 2013 differs from the U.S. federal statutory rate of 35% primarily due to the one-time benefit from the recognition of the 2012 research and development tax credit as well as tax benefits of earning income in low tax foreign jurisdictions.
The effective tax rate for the six month periods of 2014 and 2013 was 32.9% and 28.7%, respectively. The rate for the six month period of 2014 differs from the U.S. federal statutory rate of 35% primarily due to tax benefits of earning income in low tax foreign jurisdictions. The rate for the six month period of 2013 differs from the U.S. federal statutory rate of 35% primarily due to the one-time benefit from the recognition of the 2012 research and development tax credit as well as tax benefits of earning income in low tax foreign jurisdictions.
At June 30, 2014, we had a gross liability for unrecognized tax benefit of $9.5 million. We have recognized tax benefits associated with these liabilities of $5.1 million at June 30, 2014. The balance of the gross liability reflects a new amount associated with a foreign tax exposure. This amount is offset by an equal deferred tax asset for the foreign tax credits associated with the exposure.
We recognize interest related to unrecognized tax benefits in interest expense and penalties in operating expenses. Our liability for accrued interest and penalties related to uncertain tax positions was $0.8 million at June 30, 2014.