XML 14 R18.htm IDEA: XBRL DOCUMENT v3.19.3.a.u2
Income Taxes
9 Months Ended
Dec. 28, 2019
Income Tax Disclosure [Abstract]  
Income Taxes

11.

Income Taxes

For the three months ended December 28, 2019 and December 29, 2018, the Company recorded $6.3 million and $4.4 million of income tax expense and had an effective tax rate of 27.0% and 29.7%, respectively. For the nine months ended December 28, 2019 and December 29, 2018, the Company recorded $20.5 million and $13.7 million of income tax expense and had an effective tax rate of 28.2% and (25.5%), respectively. The change in the effective tax rate for the three and nine months ended December 28, 2019, compared with the same respective periods of the prior year, was primarily due to costs related to the Exchange including non-deductible equity-based compensation for which no tax benefit could be recognized.

The Company’s effective tax rate for the three and nine months ended December 28, 2019 differs from the federal statutory income tax rate of 21.0% due primarily to the effect of non-deductible expenses, state and local income taxes and results in foreign jurisdictions. The Company’s effective tax rate for the three and nine months ended December 29, 2018 differed from the federal statutory rate primarily due to the effect of non-deductible expenses, state and local income taxes, one-time charges related to the Exchange and results in foreign jurisdictions and non-taxable entities.

During the nine months ended December 28, 2019, the Company’s uncertain tax position did not change. During the nine months ended December 29, 2018, the Company’s uncertain tax position decreased by $0.7 million due to expiration of certain statutes of limitations. The Company estimates a $0.6 million decrease to uncertain tax benefits in the next twelve months due to the expiration of statutes of limitations. The Company records interest and penalties related to uncertain tax positions as a component of income tax expense. Net interest and penalties for the periods presented herein were not significant.