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Income Taxes (Text Block)
9 Months Ended
Mar. 31, 2021
Income Tax Disclosure [Abstract]  
Income Tax Disclosure [Text Block] INCOME TAXES
Provision for income taxes increased for the three months ended March 31, 2021 compared to the three months ended March 31, 2020 with an effective tax rate of 21.5% of income before income taxes, compared to 19.7% in the prior fiscal year quarter. The increase in the effective tax rate comparing the three month periods ended March 31, was primarily due to a change in the timing of the release of reserves for uncertain tax positions resulting from varying statute of limitation periods.
For the nine months ended March 31, 2021, provision for income taxes decreased compared to the nine months ended March 31, 2020, with an effective tax rate of 22.3% of income before income taxes, compared to 22.7% for the same period last year. The decrease to the Company’s fiscal year-to-date effective tax rate compared to the prior fiscal year period was primarily due to the difference in impact of share-based compensation that vested during each of the periods.
The Company paid income taxes, net of refunds, of $40,440 and $49,970 in the nine months ended March 31, 2021 and 2020, respectively.
At March 31, 2021, the Company had $11,731 of gross unrecognized tax benefits before interest and penalties, $10,886 of which, if recognized, would affect our effective tax rate. At March 31, 2021, the Company had accrued interest and penalties of $2,035 related to uncertain tax positions.
The U.S. federal and state income tax returns for fiscal 2017 and all subsequent years remain subject to examination as of March 31, 2021 under statute of limitations rules. The Company believes it is reasonably possible that the liability for unrecognized tax benefits could reduce by $3,500 to $4,500 within twelve months of March 31, 2021 due to lapsing statutes of limitations and examination closures..