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Income Taxes
3 Months Ended
May 02, 2015
Income Tax Disclosure [Abstract]  
Income Taxes
Income Taxes
Income tax expense (benefit) for the interim periods was computed using the effective tax rate estimated to be applicable for the full fiscal year. The Company’s effective income tax rate increased to 41.5% for the three months ended May 2, 2015 from 32.0% for the three months ended May 3, 2014. The increase in the effective income tax rate was due primarily to a larger mix of taxable income in higher taxable jurisdictions during the three months ended May 2, 2015 compared to the same prior-year period.
From time to time, the Company is subject to routine compliance reviews on various tax matters around the world in the ordinary course of business. As of May 2, 2015, several income tax audits were underway for various periods in multiple jurisdictions. The Company accrues an amount for its estimate of additional income tax liability which the Company, more likely than not, could incur as a result of the ultimate resolution of income tax audits (“uncertain tax positions”). The Company reviews and updates the estimates used in the accrual for uncertain tax positions as more definitive information becomes available from taxing authorities, upon completion of tax audits, upon expiration of statutes of limitation, or upon occurrence of other events.
The Company had aggregate accruals for uncertain tax positions, including penalties and interest, of $14.6 million and $14.4 million as of May 2, 2015 and January 31, 2015, respectively.