Income Taxes (Tables)

12 Months Ended

Sep. 27, 2020

Income Tax Disclosure [Abstract]

Schedule of income before income taxes, by geographical area

Income before income taxes, by geographic area, was as follows:

	Fiscal Year Ended
	September 27, 2020		September 29, 2019		September 30, 2018
	(in thousands)
Income before income taxes:
United States	$	209,443	$	185,535	$	180,034
Foreign	18,548		(10,399)		(5,472)
Total income before income taxes	$	227,991	$	175,136	$	174,562

Schedule of components of income tax expense

Income tax expense consisted of the following:

	Fiscal Year Ended
	September 27, 2020		September 29, 2019		September 30, 2018
			(in thousands)
Current:
Federal	$	24,102	$	30,051	$	46,840
State	6,872		8,923		9,228
Foreign	20,398		15,016		10,897
Total current income tax expense	51,372		53,990		66,965
Deferred:
Federal	2,187		(9,108)		(22,072)
State	870		(1,195)		(1,471)
Foreign	(328)		(27,312)		(5,817)
Total deferred income tax expense	2,729		(37,615)		(29,360)
Total income tax expense	$	54,101	$	16,375	$	37,605

Schedule of reconciliation of income tax expense and effective income tax rates

Total income tax expense was different from the amount computed by applying the U.S. federal statutory rate to pre-tax income as follows:

	Fiscal Year Ended
	September 27, 2020	September 29, 2019	September 30, 2018
Tax at federal statutory rate	21.0%	21.0%	24.5%
State taxes, net of federal benefit	2.7	3.4	4.2
Research and Development ("R&D") credits	(2.2)	(4.7)	(1.4)
Domestic production deduction	—	—	(0.2)
Tax differential on foreign earnings	0.7	1.0	0.5
Non-taxable foreign interest income	(1.1)	(1.7)	(2.0)
Goodwill	1.5	0.9	1.7
Stock compensation	(2.2)	(2.4)	(2.7)
Valuation allowance	1.6	(13.5)	(0.5)
Change in uncertain tax positions	0.4	2.4	1.9
Revaluation of deferred taxes	—	(1.4)	(8.4)
Deferred tax adjustments	(1.3)	(0.4)	2.1
Transition tax on foreign earnings	—	1.4	—
Other	2.6	3.3	1.8
Total income tax expense	23.7%	9.3%	21.5%

Schedule of temporary differences comprising the net deferred income tax asset

Temporary differences comprising the net deferred income tax asset shown on the accompanying consolidated balance sheets were as follows:

	Fiscal Year Ended
	September 27, 2020		September 29, 2019
	(in thousands)
Deferred Tax Assets:
State taxes	$	1,146	$	764
Reserves and contingent liabilities	6,262		5,500
Allowance for doubtful accounts	6,283		7,506
Accrued liabilities	28,223		28,232
Lease liabilities, operating leases	66,941		—
Stock-based compensation	5,905		6,700
Loss carry-forwards	43,475		39,782
Valuation allowance	(24,395)		(20,543)
Total deferred tax assets	133,840		67,941
Deferred Tax Liabilities:
Unbilled revenue	(14,451)		(21,886)
Prepaid expense	(5,967)		(3,026)
Right-of-use assets, operating leases	(66,941)		—
Intangibles	(29,130)		(26,482)
Property and equipment	(1,615)		(1,133)
Total deferred tax liabilities	(118,104)		(52,527)
Net deferred tax assets	$	15,736	$	15,414

Reconciliation of the beginning and ending amounts of unrecognized tax benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

	Fiscal Year Ended
	September 27, 2020		September 29, 2019		September 30, 2018
	(in thousands)
Beginning balance	$	9,169	$	8,328	$	9,337
Additions for current year tax positions	700		1,342		1,928
Additions for prior year tax positions	—		356		1,116
Reductions for prior year tax positions	(641)		(100)		—
Settlements	—		(757)		(4,053)
Ending balance	$	9,228	$	9,169	$	8,328