XML 28 R17.htm IDEA: XBRL DOCUMENT

Income Taxes	6 Months Ended
Dec. 31, 2021
Income Taxes
Income Taxes	10. Income Taxes The determination of the annual effective tax rate is based upon a number of significant estimates and judgments, including the estimated annual pretax income in each tax jurisdiction in which we operate and the development of tax planning strategies during the year. In addition, as a global commercial enterprise, our tax expense can be impacted by changes in tax rates or laws, the finalization of tax audits and reviews and other factors that cannot be predicted with certainty. As such, there can be significant volatility in interim tax provisions. The effective tax rates for the three months ended December 31, 2021 and 2020 were 26.3% and 28.6%, respectively. During each of the three month periods ended December 31, 2021 and 2020, we recognized a net discrete tax expense of $0.3 million related to equity-based compensation under ASU 2016-09 and changes in prior year tax estimates. The effective tax rate for the six months ended December 31, 2021 and 2020 was 21.6% and 27.7%, respectively. During the six months ended December 31, 2021, we recognized a net discrete tax benefit of $1.8 million related to equity-based compensation under ASU 2016-09 partially offset by a discrete tax expense for changes in prior year tax estimates of $0.2 million. During the six months ended December 31, 2020, we recognized discrete tax expense of $0.1 million related to equity-based compensation under ASU 2016-09 and changes in prior year estimates.

Income Taxes

6 Months Ended

Dec. 31, 2021

10. Income Taxes

The determination of the annual effective tax rate is based upon a number of significant estimates and judgments, including the estimated annual pretax income in each tax jurisdiction in which we operate and the development of tax planning strategies during the year. In addition, as a global commercial enterprise, our tax expense can be impacted by changes in tax rates or laws, the finalization of tax audits and reviews and other factors that cannot be predicted with certainty. As such, there can be significant volatility in interim tax provisions.

The effective tax rates for the three months ended December 31, 2021 and 2020 were 26.3% and 28.6%, respectively. During each of the three month periods ended December 31, 2021 and 2020, we recognized a net discrete tax expense of $0.3 million related to equity-based compensation under ASU 2016-09 and changes in prior year tax estimates.

The effective tax rate for the six months ended December 31, 2021 and 2020 was 21.6% and 27.7%, respectively. During the six months ended December 31, 2021, we recognized a net discrete tax benefit of $1.8 million related to equity-based compensation under ASU 2016-09 partially offset by a discrete tax expense for changes in prior year tax estimates of $0.2 million. During the six months ended December 31, 2020, we recognized discrete tax expense of $0.1 million related to equity-based compensation under ASU 2016-09 and changes in prior year estimates.

- 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 + Details