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Income Taxes
6 Months Ended
Sep. 30, 2017
Income Tax Disclosure [Abstract]  
Income Taxes
Income Taxes
The provision for income taxes for the three months ended September 30, 2017 and 2016 was $2,493 and $1,925, respectively. The effective tax rates were 23.7% and 32.6% for the three months ended September 30, 2017 and 2016, respectively. The effective rate for the three months ended September 30, 2017 decreased compared to the prior year period primarily due to a favorable decline in the amount of certain non-deductible acquisition related costs and the current period reduction in state taxes.
The provision for income taxes for the six months ended September 30, 2017 and 2016 was $4,647 and $1,608, respectively. The effective tax rates were 28.0% and 32.5% for the six months ended September 30, 2017 and 2016, respectively. The effective rate for the six months ended September 30, 2017 decreased compared to the prior year period primarily due to a favorable decline in the amount of certain non-deductible acquisition related costs, the current period reduction in state taxes, and the impact of excess tax deficiencies from share-based compensation recorded in the period.
Additionally, we adopted ASU 2016-09 (see Note 1), which requires excess tax expense and benefits to be recorded in the income statement (income tax expense and/or benefit). Prior to adoption of ASU 2016-09, such amounts were recorded to additional paid-in capital and did not impact the effective tax rate.
The deferred tax assets and liabilities have been shown net in the accompanying consolidated balance sheets as noncurrent. We expect to receive the full benefit of the deferred tax assets recorded with the exception of certain state credits, state net operating loss carryforwards, and foreign accumulated minimum tax credits, for which we have recorded a valuation allowance.
Uncertain tax positions
We had liabilities of $5,305 and $4,762 for unrecognized tax benefits related to various federal, state and local income tax matters as of September 30, 2017 and March 31, 2017, respectively. If recognized, this amount would reduce our effective tax rate.
We are no longer subject to U.S. federal income tax examinations for tax years before fiscal years ended 2014. With a few exceptions, we are no longer subject to state or local income tax examinations for tax years before fiscal years ended 2013. We do not anticipate that total unrecognized tax benefits will significantly change due to the settlement of audits or the expiration of statute of limitations within the next twelve months.