Income Taxes (Tables)

12 Months Ended

Oct. 31, 2016

Reconciliation of Company's effective tax rate from federal statutory rate

The following table provides a reconciliation of our effective tax rate from the federal statutory tax rate for the fiscal years ended October 31, 2016, 2015, and 2014 ($ amounts in thousands):



	2016				2015				2014
	$		%*		$		%*		$		%*
Federal tax provision at statutory rate	206,159		35.0		187,447		35.0		176,604		35.0
State tax provision, net of federal benefit	26,970		4.6		21,947		4.1		23,778		4.7
Domestic production activities deduction	(16,874	)	(2.9	)	(12,284	)	(2.3	)	(14,796	)	(2.9	)
Other permanent differences	(7,037	)	(1.2	)	(7,821	)	(1.5	)	(6,214	)	(1.2	)
Reversal of accrual for uncertain tax positions	(11,177	)	(1.9	)	(15,331	)	(2.9	)	(11,022	)	(2.2	)
Accrued interest on anticipated tax assessments	1,964		0.3		2,588		0.5		1,847		0.4
Increase in unrecognized tax benefits	2,052		0.3		3,214		0.6		5,694		1.1
Valuation allowance — recognized	1,018		0.2		3,681		0.7		1,328		0.3
Valuation allowance — reversed	—		—		(16,323	)	(3.0	)	(13,256	)	(2.6	)
Other	3,857		0.7		5,277		1.0		587		0.1
Income tax provision*	206,932		35.1		172,395		32.2		164,550		32.6



*	Due to rounding, amounts may not add.

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]

The following table provides information regarding the provision (benefit) for income taxes for each of the fiscal years ended October 31, 2016, 2015, and 2014 (amounts in thousands):



	2016		2015			2014
Federal	$	189,170	$	181,819		$	163,089
State	17,762		(9,424		)	1,461
	$	206,932	$	172,395		$	164,550

Current	$	186,662	$	122,953		$	129,047
Deferred	20,270		49,442			35,503
	$	206,932	$	172,395		$	164,550

Schedule of Unrecognized Tax Benefits Roll Forward [Table Text Block]

The following table provides a reconciliation of the change in the unrecognized tax benefits for the years ended October 31, 2016, 2015, and 2014 (amounts in thousands):



	2016			2015			2014
Balance, beginning of year	$	51,889		$	58,318		$	78,105
Increase in benefit as a result of tax positions taken in prior years	8,110			16,802			10,314
Increase in benefit as a result of tax positions taken in current year	694			9,005			442
Decrease in benefit as a result of settlements	(28,976		)	(31,013		)
Decrease in benefit as a result of completion of audits							(1,222		)
Decrease in benefit as a result of lapse of statute of limitations	(1,445		)	(1,223		)	(29,321		)
Balance, end of year	$	30,272		$	51,889		$	58,318

Tax Benefits potential interest and penalties

The following table provides information as to the amounts recognized in our tax provision, before reduction for applicable taxes and reversal of previously accrued interest and penalties, of potential interest and penalties in the 12-month periods ended October 31, 2016, 2015, and 2014, and the amounts accrued for potential interest and penalties at October 31, 2016 and 2015 (amounts in thousands):



Expense recognized in the Consolidated Statements of Operations and Comprehensive Income
Fiscal year
2016	$	3,426
2015	$	4,454
2014	$	9,694



Accrued at:
October 31, 2016	$	9,282
October 31, 2015	$	17,012

Schedule of Deferred Tax Assets and Liabilities [Table Text Block]

The components of net deferred tax assets and liabilities at October 31, 2016 and 2015 are set forth below (amounts in thousands):



	2016			2015
Deferred tax assets:
Accrued expenses	$	103,134		$	72,426
Impairment charges	113,950			130,709
Inventory valuation differences	78,483			67,610
Stock-based compensation expense	49,004			54,768
Amounts related to unrecognized tax benefits	8,345			25,267
State tax, net operating loss carryforward	50,031			53,103
Other	6,329			7,410
Total assets	409,276			411,293
Deferred tax liabilities:
Capitalized interest	85,873			107,970
Deferred income	52,406			17,661
Expenses taken for tax purposes not for book	47,045			37,868
Depreciation	5,440			3,819
Deferred marketing	18,945			14,384
Total liabilities	209,709			181,702
Net deferred tax assets before valuation allowances	199,567			229,591
Cumulative valuation allowance - state	(32,154		)	(31,136		)
Net deferred tax assets	$	167,413		$	198,455