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INCOME TAXES
 12 Months Ended
Sep. 30, 2021
Income Tax Disclosure [Abstract]  
INCOME TAXES
NOTE 8 INCOME TAXES
Income Tax (Benefit) Provision and Rate

The components of the benefit for income taxes are as follows:
Year Ended September 30,
(in thousands)202120202019
Current:
Federal$(15,466)$15,431 $21,745 
Foreign772 1,495 732 
State725 523 3,365 
(13,969)17,449 25,842 
Deferred:
Federal(81,760)(127,096)(35,809)
Foreign4,106 (12,390)2,804 
State(12,098)(18,069)(11,549)
(89,752)(157,555)(44,554)
Total benefit$(103,721)$(140,106)$(18,712)
The amounts of domestic and foreign loss before income taxes are as follows:
Year Ended September 30,
(in thousands)202120202019
Domestic$(412,556)$(458,364)$(45,118)
Foreign(28,624)(178,134)(6,104)
$(441,180)$(636,498)$(51,222)

Effective income tax rates as compared to the U.S. Federal income tax rate are as follows:
Year Ended September 30,
202120202019
U.S. Federal income tax rate21.0 %21.0 %21.0 %
Effect of foreign taxes0.1 (0.2)(0.6)
State income taxes, net of federal tax benefit2.6 2.8 17.2 
Other impact of foreign operations— (0.5)0.9 
Non-deductible meals and entertainment(0.1)(0.2)(2.5)
Equity compensation(0.8)(0.3)2.7 
Excess officer's compensation— (0.2)(1.9)
Contingent consideration adjustment— — 4.5 
Other0.7 (0.4)(4.8)
Effective income tax rate23.5 %22.0 %36.5 %

Effective tax rates differ from the U.S. federal statutory rate of 21.0 percent due to state and foreign income taxes and the tax effect of non-deductible expenditures.
Deferred Taxes
Deferred income taxes are provided for the temporary differences between the financial reporting basis and the tax basis of our assets and liabilities. Recoverability of any tax assets are evaluated, and necessary valuation allowances are provided. The carrying value of the net deferred tax assets is based on management’s judgments using certain estimates and assumptions that we will be able to generate sufficient future taxable income in certain tax jurisdictions to realize the benefits of such assets. If these estimates and related assumptions change in the future, additional valuation allowances may be recorded against the deferred tax assets resulting in additional income tax expense in the future.
The components of our net deferred tax liabilities are as follows:
September 30,
(in thousands)20212020
Deferred tax liabilities:
Property, plant and equipment$598,798 $685,389 
Marketable securities1,669 1,957 
Other26,244 26,138 
Total deferred tax liabilities626,711 713,484 
Deferred tax assets:
Pension reserves5,791 7,369 
Self-insurance reserves7,862 10,360 
Net operating loss, foreign tax credit, and other federal tax credit carryforwards25,474 33,747 
Financial accruals31,910 32,481 
Other17,963 15,632 
Total deferred tax assets89,000 99,589 
Valuation allowance(25,726)(36,780)
Net deferred tax assets63,274 62,809 
Net deferred tax liabilities$563,437 $650,675 

The change in our net deferred tax assets and liabilities is impacted by foreign currency remeasurement.
As of September 30, 2021, we had federal, state and foreign tax net operating loss carryforwards of approximately $7.3 million, $56.2 million and $32.0 million, respectively, federal and foreign research and development tax credits of approximately $1.0 million and $0.3 million, respectively, and foreign tax credit carryforwards of approximately $10.6 million (of which $9.3 million is reflected as a deferred tax asset in our Consolidated Balance Sheets prior to consideration of our valuation allowance), which will expire in fiscal years 2022 through 2041 and some of which can be carried forward indefinitely. Certain of these carryforwards are subject to various rules which impose limitations on their utilization. The valuation allowance is primarily attributable to foreign net operating loss carryforwards of $9.5 million, foreign tax credit carryforwards of $9.3 million, equity compensation of $5.4 million, and foreign minimum tax credit carryforwards of $1.4 million which more likely than not will not be utilized.
Unrecognized Tax Benefits

We recognize accrued interest related to unrecognized tax benefits in interest expense, and penalties in other expense in the Consolidated Statements of Operations. As of September 30, 2021 and 2020, we had accrued interest and penalties of $2.9 million and $2.8 million, respectively. A reconciliation of the change in our gross unrecognized tax benefits for the fiscal years ended September 30, 2021 and 2020 is as follows:
(in thousands)20212020
Unrecognized tax benefits at October 1,$13,440 $15,759 
Gross decreases - current period effect of tax positions(11,648)(2,338)
Gross increases - current period effect of tax positions— 20 
Expiration of statute of limitations for assessments(114)(1)
Unrecognized tax benefits at September 30, $1,678 $13,440 

As of September 30, 2021 and 2020, our liability for unrecognized tax benefits includes $1.4 million and $13.0 million, respectively, of unrecognized tax benefits related to discontinued operations that, if recognized, would not affect the effective tax rate. The remaining unrecognized tax benefits would affect the effective tax rate if recognized. The liabilities for unrecognized tax benefits and related interest and penalties are included in other noncurrent liabilities in our Consolidated Balance Sheets.
For the next 12 months, we cannot predict with certainty whether we will achieve ultimate resolution of any uncertain tax position associated with our U.S. and international operations that could result in increases or decreases of our unrecognized tax benefits. However, we do not expect any such increases or decreases to have a material effect on our results of operations or financial position.
Tax Returns
We file a consolidated U.S. federal income tax return, as well as income tax returns in various states and foreign jurisdictions. The tax years that remain open to examination by U.S. federal and state jurisdictions include fiscal years 2017 through 2020, with exception of certain state jurisdictions currently under audit. The tax years remaining open to examination by foreign jurisdictions include 2003 through 2020.