Note 6 - Income Taxes

3 Months Ended

Mar. 31, 2023

Notes to Financial Statements

Income Tax Disclosure [Text Block]

NOTE 6. INCOME TAXES

On a quarterly basis, we estimate what our effective tax rate will be for the full fiscal year and record a quarterly income tax provision based on the anticipated rate. As the year progresses, we refine our estimate based on the facts and circumstances, including discrete events, by each tax jurisdiction. Our effective tax rate for the three months ended March 31, 2023 and 2022 was 28% and (94)%, respectively. The primary drivers of the change in the effective tax rate relates to an increase in the valuation allowance on United States deferred tax assets and taxes on foreign entities.The prior year income tax benefit was attributable to the US loss compared to book income on foreign entities and expected US book income for the year.