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Income Taxes | 12 Months Ended
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Mar. 29, 2014
Income Taxes [Abstract] |
Income Taxes | 1 7. Income Taxes Income before income taxes consisted of (in thousands):
| Year Ended
| March 29, |  | March 30, |  | March 31,
| 2014 |  | 2013 |  | 2012
United States | $ | 155,431 |  | $ | 200,124 |  | $ | 79,425
Non-U.S. |  | 306 |  |  | 1,066 |  |  | 558
| $ | 155,737 |  | $ | 201,190 |  | $ | 79,983
T he provision (benefit) for income taxes consists of (in thousands):
| Year Ended
| March 29, |  | March 30, |  | March 31,
| 2014 |  | 2013 |  | 2012
Current: |  |  |  |  |  |  |  |
Federal | $ | 10,550 |  | $ | 3,537 |  | $ | 1,322
State |  | 258 |  |  | 323 |  |  | 518
Non-U.S. |  | 335 |  |  | 243 |  |  | 261
Total current tax provision | $ | 11,143 |  | $ | 4,103 |  | $ | 2,101
Deferred: |  |  |  |  |  |  |  |
U.S. |  | 36,543 |  |  | 60,506 |  |  | (10,102)
Non-U.S. |  | (60) |  |  | (17) |  |  | 1
Total deferred tax provision (benefit) |  | 36,483 |  |  | 60,489 |  |  | (10,101)
Total tax provision (benefit) | $ | 47,626 |  | $ | 64,592 |  | $ | (8,000)
T he effective income tax rates differ from the rates computed by applying the statutory federal rate to pretax income as follows (in percentages):
| Year Ended
| March 29, |  | March 30, |  | March 31,
| 2014 |  | 2013 |  | 2012
Expected income tax provision at the U.S. federal statutory rate |  | 35.0 |  |  | 35.0 |  |  | 35.0
Valuation allowance changes affecting the provision of income taxes |  | (0.1) |  |  | (1.3) |  |  | (46.7)
Foreign taxes at different rates |  | 0.1 |  |  | (0.1) |  |  | -
R&D credit |  | (0.9) |  |  | (2.1) |  |  | -
Stock compensation |  | (0.1) |  |  | 0.1 |  |  | 1.0
Recognition of prior year benefit |  | (4.1) |  |  | - |  |  | -
Nondeductible expenses |  | 0.5 |  |  | 0.3 |  |  | 0.1
Other |  | 0.2 |  |  | 0.2 |  |  | 0.6
Provision (benefit) for income taxes |  | 30.6 |  |  | 32.1 |  |  | (10.0)
S ignificant components of our deferred tax assets and liabilities as of March 29, 201 4 and March 30, 2013 are (in thousands):
| March 29, |  | March 30,
| 2014 |  | 2013
Deferred tax assets: |  |  |  |  |
Inventory valuation | $ | 7,692 |  | $ | 12,065
Accrued expenses and allowances |  | 3,905 |  |  | 5,077
Net operating loss carryforwards |  | 29,062 |  |  | 28,162
Research and development tax credit carryforwards |  | 15,164 |  |  | 37,054
State tax credit carryforwards |  | 231 |  |  | 237
Capitalized research and development |  | 3,485 |  |  | 6,601
Other |  | 28,627 |  |  | 21,505
Total deferred tax assets | $ | 88,166 |  | $ | 110,701
Valuation allowance for deferred tax assets |  | (32,159) |  |  | (23,232)
Net deferred tax assets | $ | 56,007 |  | $ | 87,469
Deferred tax liabilities: |  |  |  |  |
Depreciation and amortization | $ | 5,709 |  | $ | 5,238
Acquisition intangibles |  | 3,209 |  |  | 623
Total deferred tax liabilities | $ | 8,918 |  | $ | 5,861
Total net deferred tax assets | $ | 47,089 |  | $ | 81,608
These net deferred tax assets have been categorized on the Consolidated Balance Sheets as of March 29, 201 4 and March 30, 2013 as follows:
| March 29, |  | March 30,
| 2014 |  | 2013
Current deferred tax assets | $ | 22,024 |  | $ | 64,937
Long-term deferred tax assets |  | 25,065 |  |  | 16,671
Total net deferred tax assets | $ | 47,089 |  | $ | 81,608
The current and long-term deferred tax assets are disclosed separately under their respective captions on the C onsolidated B alance S heets. The valuation allowance in creased by $8.9 million in fiscal year 2014 and decreased by $5.8 million in fiscal year 201 3. The increase during fiscal year 2014 was primarily due to the equity acquisition of Acoustic, which had a large Federal net operating loss that will not be fully realized due to the limitations of Internal Revenue Code Section 382. The Company maintained its valuation allowance on various state net operating losses and credits due to the likelihood that they will expire or go unutilized because the Company no longer has a significant apportionment in the jurisdiction in which the attribute was created. The decrease in the fiscal year 2013 allowance was the result of a release of valuation allowance that the Company had maintained on its capital loss carryforward due to the capital gain income generated by the sale of assets associated with the Company’s Apex products. With regard to the remaining deferred tax assets, Management believes that the Company’s results from future operations will generate sufficient taxable income such that it is more likely than not that these deferred tax assets will be realized. At March 29, 201 4, we had federal net operating loss carryforwards of $81.3 million. Of that amount, $29.5 million related to acquired companies and are, therefore, subject to certain limitations under Section 382 of the Internal Revenue Code. Because the Company has elected the “with and without” method for purposes of tracking its excess stock deductions, the amount of f ederal net operating loss included in deferred tax assets is $61.2 million, which yields a tax effected deferred tax asset of $21.4 million. The net deferred tax asset for federal net operating loss carryforwards is $8.8 million after taking into account the valuation allowance that has been placed on this deferred tax asset. The Company had $110.0 million of excess stock deductions which are not included in def erred tax assets. The tax benefit from these deductions will increase additional paid-in capital when they are deemed realized under the “with and without” method. We had net operating losses in various states that total $94.0 million. The federal net operating loss carryforwards expire in fiscal years 2019 through 2034. The state net operating loss carryforwards expire in fiscal years 2015 through 2029. We also have non-U.S. net operating losses of $2.2 million, which do not expire. F ederal research and development credit carryforwards of $2 1.0 million expire in fiscal years 2018 through 2034. Under the “with and without method”, all but $612 thousand of these credit carryforwards are deemed to have been utilized in fiscal year 2014 and are therefore, not reflected as deferred tax assets at the end of the fiscal year. Of the $14.5 million of state research and development credits, $2.8 million will expire in fiscal years 2022 through 2027. The remaining $11.7 million of state research and development credits are not subject to expiration. We have approximately $307 thousand of cumulative undistributed earnings in certain non-U.S. subsidiaries. We have not recognized a deferred tax liability on these undistributed earnings because the Company currently intends to reinvest these earnings in operations outside the U.S. The unrecognized deferred tax liability on these earnings is approximately $109 thousand. We record unrecognized tax benefits for the estimated risk associated with tax positions taken on tax returns. T he unrecognized tax benefits balance was zero at March 29, 2014 and March 30, 2013. The Company does not believe that its unrecognized tax benefits will significantly increase or decrease during the next 12 months. We accrue interest and penalties related to unrecognized tax benefits as a component of the provision for income taxes. As of March 29, 2014, the balance of accrued interest and penalties was zero. No interest or penalties were incurred during fiscal year 201 4 or 201 3. The Company and its subsidiaries are subject to U.S. federal income tax as well as income tax in multiple state and foreign jurisdictions. Fiscal years 201 1 through 201 4 remain open to examination by the major taxing jurisdictions to which we are subject.

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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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