Note 15 - Income Taxes

6 Months Ended

Jul. 01, 2017

Notes to Financial Statements

Income Tax Disclosure [Text Block]

15. Income Taxes

The projected fiscal

2017

effective income tax rates as of

July 1, 2017

and applied to income before any discrete permanent difference for the

twenty-six

week period ended

July 1, 2017

are approximately

41.6%

and

26.5%

in the United States and Canada, respectively, and yielded a consolidated effective income tax rate before any discrete permanent difference of approximately

37.9%

for the

twenty-six

week period ended

July 1, 2017.

For the comparable prior year period estimated income tax rates were

41.6%

and

26.5%

in the United States and Canada, respectively, and yielded a consolidated effective income tax rate of approximately

39.2%

for the

twenty-six

week period ended

July 2, 2016. 

The relative income or loss generated in each jurisdiction can materially impact the overall effective income tax rate of the Company.  The Company experienced a discrete permanent difference of

$0.8

million because of increases to contingent consideration. The Company’s effective income tax rate after including this discrete permanent difference was

55.7%

for the

twenty-six

week period ended

July 1, 2017.