Income Tax Income Tax

3 Months Ended

Mar. 31, 2019

Income Tax

The provision for income tax expense differed from the amounts computed by applying the U.S. federal income tax statutory rate of 21% to pre-tax income as a result of the following for the three months ended March 31, 2019 and 2018, respectively (dollars in thousands):



	Three months ended March 31,
	2019			2018
Tax provision at U.S. statutory rate	$	45,478		$	28,964
Increase (decrease) in income taxes resulting from:
U.S. Tax Reform	—			775
Foreign tax rate differing from U.S. tax rate	664			1,432
Differences in tax bases in foreign jurisdictions	(15,078		)	(5,760		)
Deferred tax valuation allowance	18,544			7,947
Amounts related to tax audit contingencies	560			835
Corporate rate changes	(1,764		)	111
Subpart F	165			658
Foreign tax credits	—			(572		)
Global intangible low-taxed income, net of credit	—			4,409
Equity compensation excess benefit	(1,461		)	(1,114		)
Other, net	(51		)	10
Total provision for income taxes	$	47,057		$	37,695
Effective tax rate	21.7		%	27.3		%

The effective tax rate for the three months ended March 31, 2019 and 2018 was higher than the U.S. Statutory tax rate of 21% primarily as a result of income in non-U.S. jurisdictions with tax rates greater than the U.S. and losses in foreign jurisdictions for which the company established a valuation allowance, which was partially offset with tax benefits related to bases differences in non-U.S. jurisdictions. The effective tax for the three months ended March 31, 2018 was further increased due to the inclusion of U.S. tax related to global intangible low-taxed income (“GILTI”).