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v3.22.2.2

Income Taxes (Tables) | 12 Months Ended
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Oct. 02, 2022
Income Tax Disclosure [Abstract] |
Schedule of income before income taxes, by geographical area | Income before income taxes, by geographic area, was as follows:
| Fiscal Year Ended
| October 2, 2022 |  | October 3, 2021 |  | September 27, 2020
| (in thousands)
Income before income taxes: |  |  |  |  |
United States | $ | 262,428 |  |  | $ | 211,222 |  |  | $ | 209,443 |
Foreign | 86,338 |  |  | 55,648 |  |  | 18,548 |
Total income before income taxes | $ | 348,766 |  |  | $ | 266,870 |  |  | $ | 227,991 |
Schedule of components of income tax expense | Income tax expense consisted of the following:
| Fiscal Year Ended
| October 2, 2022 |  | October 3, 2021 |  | September 27, 2020
|  |  | (in thousands) |  |
Current: |  |  |  |  |
Federal | $ | 47,447 |  |  | $ | 41,056 |  |  | $ | 24,102 |
State | 9,613 |  |  | 9,893 |  |  | 6,872 |
Foreign | 26,332 |  |  | 18,887 |  |  | 20,398 |
Total current income tax expense | 83,392 |  |  | 69,836 |  |  | 51,372 |
Deferred: |  |  |  |  |
Federal | (424) |  |  | (6,034) |  |  | 2,187 |
State | (382) |  |  | (2,060) |  |  | 870 |
Foreign | 3,016 |  |  | (27,703) |  |  | (328) |
Total deferred income tax expense (benefit) | 2,210 |  |  | (35,797) |  |  | 2,729 |
Total income tax expense | $ | 85,602 |  |  | $ | 34,039 |  |  | $ | 54,101 |
Schedule of reconciliation of income tax rate | Total income tax expense was different from the amount computed by applying the U.S. federal statutory rate to pre-tax income as follows:
| Fiscal Year Ended
| October 2, 2022 |  | October 3, 2021 |  | September 27, 2020
Tax at federal statutory rate | 21.0% |  | 21.0% |  | 21.0%
State taxes, net of federal benefit | 2.1 |  | 2.3 |  | 2.7
Research and Development ("R&D") credits | (1.0) |  | (2.6) |  | (2.2)
Tax differential on foreign earnings | 1.0 |  | 0.9 |  | 0.7
Non-taxable foreign interest income | — |  | (1.0) |  | (1.1)
Goodwill | — |  | — |  | 1.5
Stock compensation | (2.0) |  | (3.3) |  | (2.2)
Valuation allowance | 0.2 |  | (9.3) |  | 1.6
Change in uncertain tax positions | (1.1) |  | 1.7 |  | 0.4
Return to provision | 1.4 |  | (3.7) |  | 0.8
Disallowed officer compensation | 1.9 |  | 2.0 |  | 0.2
Cash repatriation | 0.1 |  | 2.1 |  | —
Unremitted earnings | (0.2) |  | 1.0 |  | —
Deferred tax adjustments | 0.1 |  | 0.8 |  | (1.3)
Other | 1.0 |  | 0.9 |  | 1.6
Total income tax expense | 24.5% |  | 12.8% |  | 23.7%
Schedule of temporary differences comprising the net deferred income tax asset | Temporary differences comprising the net deferred income tax asset shown on the accompanying consolidated balance sheets were as follows:
| Fiscal Year Ended
| October 2, 2022 |  | October 3, 2021
| (in thousands)
Deferred Tax Assets: |  |  |
State taxes | $ | 1,238 |  |  | $ | 1,342 |
Reserves and contingent liabilities | 5,023 |  |  | 6,662 |
Accounts receivable including the allowance for doubtful accounts | 4,986 |  |  | 5,917 |
Accrued liabilities | 35,973 |  |  | 41,657 |
Lease liabilities, operating leases | 49,618 |  |  | 60,181 |
Stock-based compensation | 2,925 |  |  | 3,560 |
Unbilled revenue | 4,885 |  |  | — |
Loss carry-forwards | 41,648 |  |  | 54,825 |
Valuation allowance | (12,286) |  |  | (13,040) |
Total deferred tax assets | 134,010 |  |  | 161,104 |
Deferred Tax Liabilities: |  |  |
Unbilled revenue | — |  |  | (5,595) |
Prepaid expense | (6,065) |  |  | (8,136) |
Right-of-use assets, operating leases | (49,618) |  |  | (60,181) |
Intangibles | (42,863) |  |  | (40,121) |
Undistributed earnings | (2,200) |  |  | (3,136) |
Property and equipment | (621) |  |  | (85) |
Total deferred tax liabilities | (101,367) |  |  | (117,254) |
Net deferred tax assets | $ | 32,643 |  |  | $ | 43,850 |
Reconciliation of the beginning and ending amounts of unrecognized tax benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
| Fiscal Year Ended
| October 2, 2022 |  | October 3, 2021 |  | September 27, 2020
| (in thousands)
Beginning balance | $ | 12,899 |  |  | $ | 9,228 |  |  | $ | 9,169 |
Additions for current fiscal year tax positions | — |  |  | 2,171 |  |  | 700 |
Additions for prior fiscal year tax positions | — |  |  | 1,500 |  |  | — |
Reductions for prior fiscal year tax positions | (3,014) |  |  | — |  |  | (641) |
Settlements | (977) |  |  | — |  |  | — |
Ending balance | $ | 8,908 |  |  | $ | 12,899 |  |  | $ | 9,228 |

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