Income Taxes

9 Months Ended

Oct. 01, 2011

Income Taxes

Income Taxes

14. INCOME TAXES: The effective tax rate for the third quarter of 2011 was favorably impacted by the discrete recognition of a deferred tax asset related to a state tax credit that is now considered realizable. The effective tax rate for the third quarter of 2010 was impacted by the reversal of tax reserves due to closing of the statute of limitations.

Nucor has substantially concluded U.S. federal income tax matters for years through 2006. The 2008 through 2010 tax years are open to examination by the Internal Revenue Service. The Canada Revenue Agency has completed its examination of the 2006 to 2008 income tax returns for two Harris Steel entities. No significant adjustments arose from this audit. The tax years 2007 through 2010 remain open to examination by other major taxing jurisdictions to which Nucor is subject (primarily Canada and other state and local jurisdictions).