15. Income Taxes

A summary of the provision for income taxes follows (in thousands):

	2015			2014		2013
Current:
Federal	$	36,077		$	26,919	$	24,231
Foreign	4,183			2,368		1,974
State and local	3,169			2,849		1,077
Deferred (federal and state)	(6,246		)	4,422		5,848

Total	$	37,183		$	36,558	$	33,130

Significant deferred tax assets (liabilities) follow (in thousands):

	December 27, 2015			December 28, 2014

Accrued liabilities	$	19,277		$	12,319
Accrued bonuses	4,621			3,624
Other assets and liabilities	11,488			11,109
Equity awards	6,866			6,494
Other	3,662			3,730
Foreign net operating losses	4,769			6,322
Valuation allowance on foreign net operating and capital losses and foreign deferred tax assets	(2,866		)	(2,932		)

Total deferred tax assets	47,817			40,666

Deferred expenses	(6,861		)	(6,141		)
Accelerated depreciation	(21,434		)	(21,425		)
Goodwill	(16,752		)	(15,725		)
Other	(4,965		)	(7,401		)

Total deferred tax liabilities	(50,012		)	(50,692		)

Net deferred (liability) asset	$	(2,195	)	$	(10,026	)

The Company had approximately $21.9 million and $29.7 million of foreign tax net operating loss carryovers as of December 27, 2015 and December 28, 2014, respectively. The Company had approximately $2.9 million of a valuation allowance primarily related to these foreign net operating losses as of December 27, 2015 and December 28, 2014. The net change in the total valuation allowance was a decrease of $66,000 in 2015. A substantial majority of our foreign tax net operating losses do not have an expiration date.

The reconciliation of income tax computed at the U.S. federal statutory rate to income tax expense for the years ended December 27, 2015, December 28, 2014 and December 29, 2013 is as follows in both dollars and as a percentage of income before income taxes ($ in thousands):

	2015					2014					2013
	Income Tax Expense			Income Tax Rate		Income Tax Expense			Income Tax Rate		Income Tax Expense			Income Tax Rate

Tax at U.S. federal statutory rate	$	41,702		35.0	%	$	39,989		35.0	%	$	37,138		35.0	%
State and local income taxes	2,106			1.8	%	1,896			1.7	%	1,820			1.7	%
Foreign income taxes	2,432			2.0	%	2,368			2.1	%	1,974			1.9	%
Income of consolidated partnerships attributable to noncontrolling interests	(2,311		)	(1.9	)%	(1,608		)	(1.4	)%	(1,263		)	(1.2	)%
Non-qualified deferred compensation plan (income) loss	218			0.2	%	(171		)	(0.2	)%	(599		)	(0.6	)%
Tax credits	(4,846		)	(4.1	)%	(3,906		)	(3.4	)%	(3,161		)	(3.0	)%
Other	(2,118		)	(1.8	)%	(2,010		)	(1.8	)%	(2,779		)	(2.6	)%

Total	$	37,183		31.2	%	$	36,558		32.0	%	$	33,130		31.2	%

Income taxes paid were $23.3 million in 2015, $27.0 million in 2014 and $29.3 million in 2013.

The Company files income tax returns in the U.S. federal jurisdiction and various states and foreign jurisdictions. The Company, with few exceptions, is no longer subject to U.S. federal, state and local, or non-U.S. income tax examinations by tax authorities for years before 2011. The Company is currently undergoing examinations by various tax authorities. The Company anticipates that the finalization of these current examinations and other issues could result in a decrease in the liability for unrecognized tax benefits (and a decrease of income tax expense) of approximately $550,000 during the next 12 months.

The Company had $3.7 million of unrecognized tax benefits at December 27, 2015 of which, if recognized, would affect the effective tax rate. A reconciliation of the beginning and ending liability for unrecognized tax benefits excluding interest and penalties is as follows (in thousands):

Balance at December 29, 2013	$	2,661
Additions for tax positions of prior years	1,167
Reductions for lapse of statute of limitations	(1,015		)

Balance at December 28, 2014	2,813
Additions for tax positions of current year	344
Additions for tax positions of prior years	1,303
Reductions for lapse of statute of limitations	(775		)

Balance at December 27, 2015	$	3,685

The Company recognizes accrued interest and penalties related to unrecognized tax benefits as a part of income tax expense. The Company’s 2015 and 2014 income tax expense includes interest benefits of $141,000 and $35,000, respectively. The Company has accrued approximately $536,000 and $674,000 for the payment of interest and penalties as of December 27, 2015 and December 28, 2014, respectively.