XML 61 R10.htm IDEA: XBRL DOCUMENT
v2.4.0.8

Income Taxes | 12 Months Ended
--- | ---
Dec. 31, 2013
Income Taxes [Abstract] |
Income Taxes | 3. Income Taxes The components of the provision for income taxes are as follows:
| Years ended December 31
| 2013 |  | 2012 |  | 2011
Current tax: |  |  |  |  |  |  |  |
U.S. Federal | $ | 165,731 |  | $ | 166,386 |  | $ | 100,983
U.S. State |  | 39,136 |  |  | 31,231 |  |  | 21,848
Foreign |  | 63 |  |  | 125 |  |  | (6)
|  | 204,930 |  |  | 197,742 |  |  | 122,825
Deferred tax: |  |  |  |  |  |  |  |
U.S. Federal |  | 5,238 |  |  | (16,024) |  |  | 12,080
U.S. State |  | (3,105) |  |  | (2,013) |  |  | (50)
Foreign |  | (1,330) |  |  | (1,578) |  |  | (711)
|  | 803 |  |  | (19,615) |  |  | 11,319
Valuation allowance |  | 1,300 |  |  | 1,558 |  |  | 616
Provision for income taxes | $ | 207,033 |  | $ | 179,685 |  | $ | 134,760
Actual taxes paid for each tax period were less than the current tax expense due to the excess tax benefit on stock-based compensation of $38,379, $73,210, and $38,786 during the years ended December 31 2013, 2012, and 2011, respectively. The effective tax rate differs from the statutory tax rates as follows:
| Years ended December 31
| 2013 |  | 2012 |  | 2011
Statutory U.S. federal income tax rate | 35.0 | % |  | 35.0 | % |  | 35.0 | %
State income tax, net of related federal income tax benefit | 4.2 |  |  | 4.1 |  |  | 4.1 |
Federal credits | (0.5) |  |  | - |  |  | (0.8) |
Valuation allowance | 0.4 |  |  | 0.3 |  |  | 0.1 |
Prior period adjustments | (0.4) |  |  | (0.1) |  |  | 0.1 |
Effective income tax rates | 38.7 | % |  | 39.3 | % |  | 38.5 | %
In January 2013, the United States Congress authorized, and the President signed into law, certain federal tax credits that were reflected in the Company’s U.S. tax return for 2012; however, since this law was enacted in 2013, the financial statement benefit of such credits were reflected in 2013. The lack of availability of such credits caused the 2012 effective tax rate to be approximately 0.7% higher than it would have been had the credits been approved in 2012. Recognizing the 2012 credits during 2013 benefited the 2013 rate by 0.6%. Deferred U.S. income taxes have not been recorded for temporary differences related to investments in certain foreign subsidiaries. These temporary differences consisted primarily of undistributed earnings considered permanently invested in operations outside the U.S. Determination of the deferred income tax liability on these unremitted earnings is not practicable because such liability, if any, is dependent on circumstances existing if and when remittance occurs. Deferred income tax liabilities are taxes the Company expects to pay in future periods. Similarly, deferred income tax assets are recorded for expected reductions in taxes payable in future periods. Deferred income taxes arise because of the differences in the book and tax bases of certain assets and liabilities. Deferred income tax liabilities and assets consist of the following:
| December 31
| 2013 |  | 2012
Long-term deferred income tax liability: |  |  |  |  |
Leasehold improvements, property and equipment | $ | 156,746 |  | $ | 136,040
Goodwill and other assets |  | 1,346 |  |  | 1,166
Other |  | 1,591 |  |  | -
Total long-term deferred income tax liability |  | 159,683 |  |  | 137,206
Long-term deferred income tax asset: |  |  |  |  |
Deferred rent |  | 47,127 |  |  | 41,041
Gift card liability |  | 876 |  |  | 480
Capitalized transaction costs |  | 506 |  |  | 505
Stock-based compensation and other employee benefits |  | 53,622 |  |  | 46,515
Foreign net operating loss carry-forwards |  | 5,598 |  |  | 2,992
State credits |  | 1,300 |  |  | -
Other |  | - |  |  | 72
Valuation allowance |  | (4,780) |  |  | (3,346)
Total long-term deferred income tax asset |  | 104,249 |  |  | 88,259
Net long-term deferred income tax liability |  | 55,434 |  |  | 48,947
Current deferred income tax liability: |  |  |  |  |
Prepaid assets and other |  | 2,970 |  |  | 2,086
Total current deferred income tax liability |  | 2,970 |  |  | 2,086
Current deferred income tax asset: |  |  |  |  |
Allowances, reserves and other |  | 11,973 |  |  | 10,433
Other employee benefits |  | 4,267 |  |  | 573
Valuation allowance |  | (58) |  |  | (58)
Total current deferred income tax asset |  | 16,182 |  |  | 10,948
Net current deferred income tax asset |  | 13,212 |  |  | 8,862
Total deferred income tax liability | $ | 42,222 |  | $ | 40,085
As of December 31, 2013 and 2012, the Company had no unrecognized tax benefits. There was no change in the amount of unrecognized tax benefits as a result of tax positions taken during the year or in prior periods or due to settlements with taxing authorities or lapses of applicable statutes of limitations. The Company is open to federal and state tax audits until the applicable statutes of limitations expire. Tax audits by their very nature are often complex and can require several years to complete. The Company is no longer subject to U.S. federal tax examinations by tax authorities for tax years before 20 10. For the majority of states where the Company has a significant presence, it is no longer subject to tax examinations by tax authorities for tax years before 2009. Some of the Company’s foreign net operating losses begin expiring in 2015.

X
- Details
Name: | us-gaap_ComponentsOfIncomeTaxExpenseBenefitContinuingOperationsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32718-109319 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(h)) -URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 08 -Paragraph h -Article 4 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32639-109319 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32537-109319 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32559-109319 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration