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Income Taxes | 12 Months Ended
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Apr. 30, 2018
Income Tax Disclosure [Abstract] |
Income Taxes | INCOME TAXES Income tax (benefit) expense attributable to earnings consisted of the following components:
| Years ended April 30,
| 2018 |  | 2017 |  | 2016
Current tax (benefit) expense: |  |  |  |  |
Federal | $ | (7,057 | ) |  | $ | 41,300 |  |  | $ | 58,273 |
State | 1,769 |  |  | 5,693 |  |  | 8,959 |
| (5,288 | ) |  | 46,993 |  |  | 67,232 |
Deferred tax (benefit) expense | (98,178 | ) |  | 45,190 |  |  | 55,492 |
Total income tax (benefit) expense | $ | (103,466 | ) |  | $ | 92,183 |  |  | $ | 122,724 |
The tax effects of temporary differences that gave rise to significant portions of the deferred tax assets and deferred tax liabilities were as follows:
| As of April 30,
| 2018 |  | 2017
Deferred tax assets: |  |  |
Accrued liabilities and reserves | $ | 7,978 |  |  | $ | 10,948 |
Property and equipment depreciation | 24,419 |  |  | 16,604 |
Workers compensation | 7,244 |  |  | 10,934 |
Deferred compensation | 3,846 |  |  | 5,916 |
Equity compensation | 7,158 |  |  | 6,923 |
Federal net operating losses | 2,769 |  |  | — |
State net operating losses & tax credits | 2,336 |  |  | 938 |
Other | 889 |  |  | 1,275 |
Total gross deferred tax assets | 56,639 |  |  | 53,538 |
Less valuation allowance | 47 |  |  | 60 |
Total net deferred tax assets | 56,592 |  |  | 53,478 |
Deferred tax liabilities: |  |  |
Property and equipment depreciation | (378,756 | ) |  | (468,470 | )
Goodwill | (19,548 | ) |  | (25,052 | )
Other | (234 | ) |  | (80 | )
Total gross deferred tax liabilities | (398,538 | ) |  | (493,602 | )
Net deferred tax liability | $ | (341,946 | ) |  | $ | (440,124 | )
On December 22, 2017, H.R. 1, originally known as the Tax Cuts and Jobs Act (the “Tax Reform Act”) was enacted. The Tax Reform Act made significant changes to U.S. federal income tax laws including permanently lowering the U.S. corporate income tax rate from 35% to 21% effective January 1, 2018. Due to the Company’s April 30 fiscal year-end, the lower corporate income tax rate was phased in, resulting in a U.S. statutory rate of 30.4% for the fiscal year ending April 30, 2018. The Company’s statutory federal tax rate will be 21% for fiscal years ending April 30, 2019 and beyond. U.S. GAAP requires that the impact of tax legislation be recognized in the period in which the law was enacted. In December 2017, the SEC issued Staff Accounting Bulletin No. 118, which allows a company to report provisional numbers related to the Tax Reform Act and adjust those amounts during a measurement period not to exceed one year. For the year ending April 30, 2018, the Company has recorded a one-time benefit of $173 million due primarily to a remeasurement of deferred tax assets and liabilities. These tax benefits represent provisional amounts and the Company’s best estimate. The provisional amounts are based on estimates of underlying timing differences and the Company’s current interpretations of the Tax Reform Act. The ultimate impact of the Tax Reform Act may differ from our provisional amounts (primarily related to uncertainty in fixed assets) due to changes in interpretations and assumptions we made as well as any forthcoming legislative action or regulatory guidance. At April 30, 2018, the Company had a federal net operating loss carryforward of approximately $13,188, which is available to offset future federal taxable income over an indefinite period. The Company also had net operating loss carryforwards for state income tax purposes of approximately $82,243, which are available to offset future state taxable income. The state net operating loss carryforwards begin to expire in 2021. In addition, the Company had state tax credit carryforwards of approximately $380, which begin to expire in 2023 through 2028. There was a valuation allowance of $47 and $60 for state net operating loss deferred tax assets as of April 30, 2018 and 2017, respectively. The change in the valuation allowance was $(13) and $(24) for the years ending April 30, 2018 and 2017, respectively. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected taxable income, and tax planning strategies in making this assessment. Total reported tax expense applicable to the Company’s continuing operations varies from the tax that would have resulted from applying the statutory U.S. federal income tax rates to income before income taxes:
| Years ended April 30,
| 2018 |  | 2017 |  | 2016
Income taxes at the statutory rates | 30.4 | % |  | 35.0 | % |  | 35.0 | %
Impact of Tax Reform Act | (80.5 | )% |  | — | % |  | — | %
Federal tax credits | (2.2 | )% |  | (1.8 | )% |  | (1.7 | )%
State income taxes, net of federal tax benefit | 3.7 | % |  | 2.8 | % |  | 2.7 | %
ASU 2016-09 Benefit (share based compensation) | (0.8 | )% |  | (1.3 | )% |  | — | %
Other | 1.1 | % |  | (0.5 | )% |  | (0.8 | )%
| (48.3 | )% |  | 34.2 | % |  | 35.2 | %
The Company recognizes the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. The Company had a total of $6,421 and $5,362 in gross unrecognized tax benefits at April 30, 2018 and 2017, respectively, which is recorded in other long-term liabilities in the consolidated balance sheet. Of this amount, $5,095 represents the amount of unrecognized tax benefits that, if recognized, would impact our effective tax rate. Unrecognized tax benefits increased $1,059 during the twelve months ended April 30, 2018, due primarily to the increase associated with income tax filing positions for the current year exceeding the decrease related to the expiration of certain statutes of limitation. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
| 2018 |  | 2017
Beginning balance | $ | 5,362 |  |  | $ | 6,484 |
Additions based on tax positions related to current year | 2,010 |  |  | 1,705 |
Additions for tax positions of prior years | 322 |  |  | — |
Reductions for tax positions of prior years | — |  |  | — |
Reductions due to lapse of applicable statute of limitations | (1,273 | ) |  | (2,827 | )
Settlements | — |  |  | — |
Ending balance | $ | 6,421 |  |  | $ | 5,362 |
The total net amount of accrued interest and penalties for such unrecognized tax benefits was $191 and $141 at April 30, 2018 and 2017, respectively, and is included in other long-term liabilities. Net interest and penalties included in income tax expense for the twelve month period ended April 30, 2018 was an increase in tax expense of $50 and a decrease in tax expense of $76 for the year ended April 30, 2017. A number of years may elapse before an uncertain tax position is audited and ultimately settled. It is difficult to predict the ultimate outcome or the timing of resolution for uncertain tax positions. It is reasonably possible that the amount of unrecognized tax benefits could significantly increase or decrease within the next twelve months. These changes could result from the expiration of the statute of limitations, examinations or other unforeseen circumstances. The IRS is currently examining tax year 2012. The Company has no other ongoing federal or state income tax examinations. At this time, the Company’s best estimate of the reasonably possible change in the amount of the gross unrecognized tax benefits is a decrease of $1,300 during the next twelve months mainly due to the expiration of certain statutes of limitation. The federal statute of limitations remains open for the tax years 2012 and forward. Tax years 2012 and forward are subject to audit by state tax authorities depending on open statute of limitations waivers and the tax code of each state.

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- 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://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -URI http://asc.fasb.org/topic&trid=2144680 + Details
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