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INCOME TAXES
 9 Months Ended
Jun. 30, 2017
Income Tax Disclosure [Abstract]  
INCOME TAXES
INCOME TAXES
The calculation of the effective tax rate is as follows (in thousands):
 
Three months ended June 30,
 
Nine months ended June 30,
 
2017
 
2016
 
2017
 
2016
Income (loss) before income taxes
$
(6,898
)
 
$
6,058

 
$
(10,812
)
 
$
10,846

 
 
 
 
 
 
 
 
Income tax provision (benefit)
(3,683
)
 
1,164

 
(6,469
)
 
844

 
 
 
 
 
 
 
 
Net income (loss)
$
(3,215
)
 
$
4,894

 
$
(4,343
)
 
$
10,002

 
 
 
 
 
 
 
 
Effective tax rate
53
%
 
19
%
 
60
%
 
8
%
 
We recorded an income tax benefit of $3.7 million in the third quarter of Fiscal 2017, compared to an income tax provision of $1.2 million in the third quarter of Fiscal 2016. The effective tax rate for the third quarter of Fiscal 2017 was 53% compared to an effective tax rate of 19% in the third quarter of Fiscal 2016. The effective tax rates for the third quarter of Fiscal 2017 and 2016 were favorably impacted by the utilization of net operating loss carryforwards in Canada that are fully reserved with a valuation allowance. In addition, the effective tax rate for the third quarter of Fiscal 2017 was favorably impacted by discrete items recognized during the quarter, primarily related to the Research and Development Tax Credit (R&D Tax Credit).

We recorded an income tax benefit of $6.5 million for the nine months ended June 30, 2017, compared to an income tax provision of $0.8 million for the nine months ended June 30, 2016. The effective tax rate was 60% for the nine months ended June 30, 2017 compared to 8% for the nine months ended June 30, 2016. The effective tax rates for the nine months ended June 30, 2017 and 2016 were favorably impacted by the lower tax rate in the United Kingdom, the relative amounts of income/loss recognized in various jurisdictions, as well as the utilization of net operating loss carryforwards in Canada that are fully reserved with a valuation allowance. Additionally, the effective tax rates for the nine months ended June 30, 2017 and 2016 were favorably impacted by discrete items recognized, primarily related to the R&D Tax Credit in the amounts of $0.9 million and $0.8 million, respectively.