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Income Taxes | 12 Months Ended
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Feb. 01, 2014
Income Tax Disclosure [Abstract] |
Income Taxes | Income Taxes The components of the provision for income taxes are as follows (in thousands):
| 2013 |  | 2012 |  | 2011
Current: |  |  |  |  |
Federal | $ | 156,177 |  |  | $ | 174,049 |  |  | $ | 119,893 |
State | 27,769 |  |  | 27,429 |  |  | 23,075 |
| 183,946 |  |  | 201,478 |  |  | 142,968 |
Deferred: |  |  |  |  |
Federal | 23,499 |  |  | (1,734 | ) |  | 23,130 |
State | 1,064 |  |  | (628 | ) |  | 2,022 |
| 24,563 |  |  | (2,362 | ) |  | 25,152 |
Total provision | $ | 208,509 |  |  | $ | 199,116 |  |  | $ | 168,120 |
The provision for income taxes differs from the amounts computed by applying the federal statutory rate as follows for the following periods:
| 2013 |  | 2012 |  | 2011
Federal statutory rate | 35.0 | % |  | 35.0 | % |  | 35.0 | %
State tax, net of federal benefit | 3.5 | % |  | 3.6 | % |  | 4.1 | %
Valuation allowance | (0.4 | )% |  | 1.6 | % |  | — | %
Other permanent items | 0.1 | % |  | 0.5 | % |  | (0.2 | )%
Effective income tax rate | 38.2 | % |  | 40.7 | % |  | 38.9 | %
Components of deferred tax assets (liabilities) consist of the following as of the fiscal periods ended (in thousands):
| 2013 |  | 2012
Inventory | $ | 35,531 |  |  | $ | 30,614 |
Store closing expense | 6,674 |  |  | 12,444 |
Stock-based compensation | 26,692 |  |  | 33,667 |
Capital loss carryforward | 6,242 |  |  | 7,942 |
Employee benefits | 33,156 |  |  | 26,876 |
Other accrued expenses not currently deductible for tax purposes | 4,631 |  |  | 4,658 |
Deferred rent | 27,609 |  |  | 25,625 |
Insurance | 2,352 |  |  | 2,363 |
Gift cards | 11,531 |  |  | 10,478 |
Deferred revenue currently taxable | 4,404 |  |  | 4,829 |
Non income-based tax reserves | 7,098 |  |  | 4,903 |
Uncertain income tax positions | 3,112 |  |  | 2,981 |
Valuation allowance | (6,242 | ) |  | (7,942 | )
Total deferred tax assets | 162,790 |  |  | 159,438 |
Property and equipment | (118,854 | ) |  | (84,734 | )
Inventory | (30,342 | ) |  | (36,404 | )
Intangibles | (10,875 | ) |  | (10,930 | )
Other | (24 | ) |  | (112 | )
Total deferred tax liabilities | (160,095 | ) |  | (132,180 | )
Net deferred tax asset | $ | 2,695 |  |  | $ | 27,258 |
In 2013, of the $2.7 million net deferred tax asset, $38.8 million is included within current assets, $2.5 million is included within other long-term assets and $38.6 million is included within other long-term liabilities on the Consolidated Balance Sheets. In 2012, of the $27.3 million net deferred tax asset, $30.3 million is included within current assets, $4.4 million is included within other long-term assets and $7.4 million is included within other long-term liabilities on the Consolidated Balance Sheets. The Company determined that a valuation allowance of $7.9 million was required for a portion of the deferred tax asset recorded in fiscal 2012 relating to a $32.4 million net capital loss carryforward resulting from the impairment of its investment in JJB Sports, plc ("JJB Sports"). During the first quarter of 2013, the Company determined that it would recover $4.3 million of its investment in JJB Sports, which it had previously fully impaired. There is no related tax expense for this recovery as the Company reversed a portion of the deferred tax valuation allowance it had previously recorded for net capital loss carryforwards it did not expect to realize at the time its investment in JJB Sports was fully impaired. As of February 1, 2014, the total liability for uncertain tax positions, including related interest and penalties, was approximately $9.0 million. The following table represents a reconciliation of the Company's total unrecognized tax benefits balances, excluding interest and penalties (in thousands):
| 2013 |  | 2012 |  | 2011
Beginning of fiscal year | $ | 10,670 |  |  | $ | 18,692 |  |  | $ | 13,560 |
Increases as a result of tax positions taken in a prior period | 1,651 |  |  | 1,816 |  |  | 5,567 |
Decreases as a result of tax positions taken in a prior period | (2,240 | ) |  | (4,370 | ) |  | (52 | )
Increases as a result of tax positions taken in the current period | 985 |  |  | 1,740 |  |  | 1,966 |
Decreases as a result of settlements during the current period | (3,559 | ) |  | (6,405 | ) |  | (1,757 | )
Reductions as a result of a lapse of statute of limitations during the current period | — |  |  | (803 | ) |  | (592 | )
End of fiscal year | $ | 7,507 |  |  | $ | 10,670 |  |  | $ | 18,692 |
Included in the balance at February 1, 2014 are $4.4 million of unrecognized tax benefits that would impact our effective tax rate if recognized. The Company recognizes accrued interest and penalties related to unrecognized tax benefits in income tax expense. As of February 1, 2014, the liability for uncertain tax positions included $1.5 million for the accrual of interest and penalties. During fiscal 2013, 2012 and 2011, the Company recorded $0.9 million, $0.8 million and $1.3 million, respectively, for the accrual of interest and penalties in its Consolidated Statements of Income. The Company has federal, state and local examinations currently ongoing. It is possible that these examinations may be resolved within 12 months. Due to the potential for resolution of these examinations, and the expiration of various statutes of limitation, it is reasonably possible that $0.6 million of the Company's gross unrecognized tax benefits and interest at February 1, 2014 could be recognized within the next 12 months. The Company does not anticipate that changes in its unrecognized tax benefits will have a material impact on the Consolidated Statements of Income during fiscal 2014. The Company participates in the Internal Revenue Service ("IRS") Compliance Assurance Program ("CAP"). As part of the CAP, tax years are audited on a contemporaneous basis so that all or most issues are resolved prior to the filing of the tax return. The IRS has completed examinations of 2012 and all prior tax years. The Company is no longer subject to examination in any of its major state jurisdictions for years prior to 2006.

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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://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
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