Income Taxes

6 Months Ended

Jun. 25, 2022

Income Taxes

(3) Income Taxes

The provisions for income taxes for the 2022 and 2021 twenty-six-week periods were based on estimated annual effective income tax rate of 24.5% and 24.4%, respectively, adjusted for discrete events, such as benefits resulting from stock-based awards. The estimated annual effective income tax rate was higher than the statutory federal income tax rate of 21% in both periods primarily attributable to state taxes and non-deductible executive compensation. The effective income tax rate for the 2022 twenty-six-week period was 23.7%, which was lower than the estimated annual effective income tax rate of 24.5%, primarily attributable to excess tax benefits realized on stock-based awards. The effective income tax rate for the 2021 twenty-six-week period was 24.1%, which was lower than the estimated annual effective income tax rate of 24.4% primarily attributable to excess tax benefits realized on stock-based awards.