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Income Taxes
 9 Months Ended
Mar. 31, 2022
Income Taxes  
Income Taxes

11. Income Taxes

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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.

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The effective tax rates for the three months ended March 31, 2022 and 2021 were 20.1% and 33.7%, respectively. During the three month period ended March 31, 2022, we recognized a net discrete tax benefit of $0.2 million related to equity-based compensation under ASU 2016-09 and changes in prior year tax estimates. During the three months ended March 31, 2021, we recognized a net discrete tax expense of $2.2 million for changes in prior year tax estimates of $2.4 million, offset by a discrete tax benefit of ($0.2) million for equity-based compensation under ASU 2016-09.

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The effective tax rate for the nine months ended March 31, 2022 and 2021 was 20.8% and 30.1%, respectively. During the nine months ended March 31, 2022, we recognized a net discrete tax benefit of $2.0 million related to equity-based compensation under ASU 2016-09. During the nine months ended March 31, 2021, we recognized a net discrete tax expense of $2.3 million for changes in prior year tax estimates of $2.8 million, offset by a ($0.5) million tax benefit from equity-based compensation under ASU 2016-09.