Note 5 - Income Taxes

12 Months Ended

Dec. 31, 2014

Income Tax Disclosure [Abstract]

Income Tax Disclosure [Text Block]

5. Income Taxes

The components of the provision for income taxes consisted of the following:

(In thousands)	2014		2013		2012
Current:
Federal	$	10,402	$	15,964	$	12,728
State		2,015		1,889		587
		12,417		17,853		13,315
Deferred:
Federal		8,648		3,909		5,542
State		774		394		(720	)
		9,422		4,303		4,822
Total provision	$	21,839	$	22,156	$	18,137

 The statutory federal income tax rate is reconciled to the effective income tax rate as follows:

	2014			2013			2012
Statutory federal income tax rate		35	%		35	%		35	%
Per diem and other non-deductible expenses		4			4			5
Increase in taxes arising from state income taxes, net of federal income tax benefit		3			3			-
Effective tax rate		42	%		42	%		40	%

As of December 31, the net deferred tax liability consisted of the following:

(In thousands)	2014		2013
Deferred tax assets:
Reserves and accrued liabilities	$	6,049	$	6,051
Other		2,847		2,796
		8,896		8,847
Deferred tax liabilities:
Depreciation		125,697		116,438
Prepaid expenses		2,843		2,631
		128,540		119,069
Net deferred tax liability	$	119,644	$	110,222

We have not provided a valuation allowance against deferred tax assets at December 31, 2014 or 2013. We believe the deferred tax assets will be realized principally through future reversals of existing taxable temporary differences (deferred tax liabilities) and future taxable income.

Our reserves for unrecognized tax benefits were $562,000 as of December 31, 2014 and $340,000 as of December 31, 2013. The $222,000 increase in the amount reserved in 2014 relates to current period tax positions offset by the removal of the reserve relating to 2009. The amount reserved as of December 31, 2013 was added in 2009 through 2013 relating to current period tax positions. If recognized, $386,000 of the unrecognized tax benefits as of December 31, 2014 would impact our effective tax rate. Potential interest and penalties related to unrecognized tax benefits of $72,000 were recognized in our financial statements as of December 31, 2014. No such amounts were recorded as of December 31, 2013. We do not expect the reserves for unrecognized tax benefits to change significantly within the next twelve months.

The federal statute of limitations remains open for 2011 and forward. We file tax returns in numerous state jurisdictions with varying statutes of limitations.