Income Tax Provision

6 Months Ended

Jun. 30, 2021

Income Tax Disclosure [Abstract]

Income Tax Provision

Income Tax Provision

We had an effective income tax rate of 2.2% and 2.9% for the three and six months ended June 30, 2021, respectively, compared to negative 28.9% and negative 32.3% for the three and six months ended June 30, 2020, respectively. The higher effective tax rate for the three and six months ended June 30, 2021, as compared to the same periods in 2020, was principally driven by a decrease in the excess tax benefits related to stock incentive awards.

The effective income tax rates for the periods presented were different from the statutory United States federal income tax rate of 21% primarily due to excess tax benefits related to stock incentive awards and the tax benefit of research tax credits offset by state income taxes and non-deductible business expenses. The excess tax benefits related to stock incentive awards realized were $6.4 million and $15.2 million for the three and six months ended June 30, 2021, respectively, compared to $23.4 million and $45.5 million for the three and six months ended June 30, 2020, respectively. Excluding the excess tax benefits, the effective tax rate was 26.7% and 26.5% for the three and six months ended June 30, 2021, respectively, compared to 27.2% and 27.1% for the three and six months ended June 30, 2020, respectively.

We made tax payments of $967,000 and $422,000 in the six months ended June 30, 2021, and 2020, respectively.