XML 43 R30.htm IDEA: XBRL DOCUMENT v3.22.2.2
Income Tax Expense (Tables)
12 Months Ended
Sep. 30, 2022
Income Tax Expense  
Schedule of the components of income from continuing operations before income taxes

We allocated total income tax expense for the years ended September 30, 2022, 2021 and 2020 to income tax expense as follows:

(Dollars in thousands)

    

2022

    

2021

    

2020

Income tax expense from continuing operations

$

24,115

 

17,175

 

13,510

Income tax expense from discontinued operations

 

 

 

23,501

Total income tax expense (benefit)

$

24,115

 

17,175

 

37,011

The components of income from continuing operations before income taxes for 2022, 2021 and 2020 consisted of the following:

(Dollars in thousands)

    

2022

    

2021

    

2020

United States

$

90,674

 

70,214

 

23,951

Foreign

 

15,761

 

10,457

 

12,455

Total income before income taxes

$

106,435

 

80,671

 

36,406

Schedule of the principal components of income tax expense (benefit) from continuing operations

The principal components of income tax expense (benefit) from continuing operations for 2022, 2021 and 2020 consist of:

(Dollars in thousands)

    

2022

    

2021

    

2020

Federal:

 

  

 

  

 

  

Current

$

7,248

 

14,807

 

10,495

Deferred

 

9,752

 

(1,598)

 

1,311

State and local:

 

 

 

Current

 

1,635

 

2,257

 

1,984

Deferred

 

1,774

 

(786)

 

(932)

Foreign:

 

 

 

Current

 

4,645

 

2,922

 

2,875

Deferred

 

(939)

 

(427)

 

(2,223)

Total

$

24,115

 

17,175

 

13,510

Schedule of the actual income tax expense from continuing operations

The actual income tax expense from continuing operations for 2022, 2021 and 2020 differs from the expected tax expense for those years (computed by applying the U.S. Federal corporate statutory rate) as follows:

    

2022

    

2021

    

2020

 

Federal corporate statutory rate

    

21.0

%  

21.0

%  

21.0

%

State and local, net of Federal benefits

2.9

 

1.9

 

2.3

Impact of foreign operations

(0.3)

(0.4)

1.3

Federal research credit

(0.3)

(0.9)

(3.7)

Executive compensation

0.5

 

0.9

 

1.6

Valuation allowance

(0.3)

 

 

(6.8)

U.S. tax on GILTI

1.8

1.0

3.2

GILTI foreign tax credits

(1.5)

(0.6)

(2.7)

FDII deduction

(0.9)

(1.7)

(2.6)

Pension plan termination charge

23.4

Other, net

(0.2)

 

0.1

 

0.1

Effective income tax rate

22.7

%  

21.3

%  

37.1

%

Schedule of the tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities at September 30, 2022 and 2021 are presented below:

(Dollars in thousands)

    

2022

    

2021

Deferred tax assets:

 

  

 

  

Inventories

$

4,990

 

4,267

Pension and other postretirement benefits

 

664

 

859

Timing differences related to revenue recognition

61

9,365

Lease liabilities

7,073

7,614

Net operating and capital loss carryforwards — domestic

 

575

 

542

Net operating loss carryforward — foreign

 

3,396

 

4,279

Other compensation-related costs and other cost accruals

 

9,032

 

8,174

State credit carryforward

 

1,676

 

2,639

Foreign credit carryforward

203

192

Total deferred tax assets

 

27,670

 

37,931

 

 

Deferred tax liabilities:

 

 

ROU assets

(7,073)

(7,614)

Goodwill

 

(11,691)

 

(13,746)

Acquisition intangible assets

 

(62,051)

 

(62,052)

Depreciation, software amortization

 

(24,503)

 

(22,418)

Net deferred tax liabilities before valuation allowance

 

(77,648)

 

(67,899)

Less valuation allowance

 

(1,208)

 

(2,011)

Net deferred tax liabilities

$

(78,856)

 

(69,910)