XML 53 R36.htm IDEA: XBRL DOCUMENT
v3.23.3

INCOME TAXES (Tables) | 12 Months Ended
--- | ---
Aug. 31, 2023
Income Tax Disclosure [Abstract] |
Income from Continuing Operations Before Provision for Income Taxes and Loss of Unconsolidated Affiliates | Income from continuing operations before provision for income taxes and loss of unconsolidated affiliates includes the following components (in thousands):
| Years Ended August 31,
| 2023 |  | 2022 |  | 2021
United States | $ | 57,941 |  |  | $ | 55,667 |  |  | $ | 33,818 |
Foreign | 111,270 |  |  | 100,754 |  |  | 113,368 |
Income from continuing operations before provision for income taxes and loss of unconsolidated affiliates | $ | 169,211 |  |  | $ | 156,421 |  |  | $ | 147,186 |
Significant Components of Income Tax Provision | Significant components of the income tax provision are as follows (in thousands):
| Years Ended August 31,
| 2023 |  | 2022 |  | 2021
Current: |  |  |  |  |
U.S. tax expense | $ | 21,604 |  |  | $ | 20,824 |  |  | $ | 16,904 |
Foreign tax expense | 41,639 |  |  | 34,334 |  |  | 35,918 |
Total | $ | 63,243 |  |  | $ | 55,158 |  |  | $ | 52,822 |
Deferred: |  |  |  |  |
U.S. tax benefit | $ | (11,958) |  |  | $ | (11,894) |  |  | $ | (10,212) |
U.S. valuation allowance change | 12,598 |  |  | 11,823 |  |  | 9,777 |
Foreign tax benefit | (3,935) |  |  | (3,259) |  |  | (3,125) |
Foreign valuation allowance change | 3 |  |  | 30 |  |  | (293) |
Total | $ | (3,292) |  |  | $ | (3,300) |  |  | $ | (3,853) |
Provision for income taxes | $ | 59,951 |  |  | $ | 51,858 |  |  | $ | 48,969 |
Schedule of Reconciliation of Effective Tax Rate | The reconciliation of income tax computed at the Federal statutory tax rate to the provision for income taxes is as follows (in percentages):
| Years Ended August 31,
| 2023 |  | 2022 |  | 2021
Federal tax provision at statutory rates | 21.0 | % |  | 21.0 | % |  | 21.0 | %
State taxes, net of federal benefit | 0.3 |  |  | 0.2 |  |  | 0.1 |
Differences in foreign tax rates | 6.8 |  |  | 7.1 |  |  | 6.9 |
Permanent items and other adjustments | (0.1) |  |  | (2.6) |  |  | (2.2) |
Increase in valuation allowance | 7.4 |  |  | 7.5 |  |  | 7.5 |
Provision for income taxes | 35.4 | % |  | 33.2 | % |  | 33.3 | %
Significant Components of Deferred Tax Assets | Significant components of the Company’s deferred tax assets as of August 31, 2023 and 2022 are shown below (in thousands):
| August 31,
| 2023 |  | 2022
Deferred tax assets: |  |  |
Foreign tax credits | $ | 43,632 |  |  | $ | 32,322 |
Deferred compensation | 1,664 |  |  | 1,782 |
U.S. timing differences | 6,845 |  |  | 7,746 |
Foreign net operating losses | 4,911 |  |  | 5,026 |
Foreign timing differences: |  |  |
Accrued expenses and other timing differences | 9,365 |  |  | 9,937 |
Depreciation and amortization | 15,160 |  |  | 13,019 |
Deferred income | 7,338 |  |  | 7,749 |
Gross deferred tax assets | 88,915 |  |  | 77,581 |
U.S. deferred tax liabilities (depreciation and other timing differences) | (3,035) |  |  | (2,273) |
Foreign deferred tax liabilities netted against deferred tax assets | (5,552) |  |  | (8,697) |
U.S. valuation allowance | (43,860) |  |  | (33,824) |
Foreign valuation allowance | (4,430) |  |  | (4,432) |
Net deferred tax assets | $ | 32,038 |  |  | $ | 28,355 |
Reconciliation of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):
| Years Ended August 31,
| 2023 |  | 2022 |  | 2021
Balance at beginning of fiscal year | $ | 5,041 |  |  | $ | 3,911 |  |  | $ | 4,573 |
Gross increase - tax positions in prior period | 35 |  |  | 264 |  |  | 135 |
Gross decrease - tax positions in prior period | — |  |  | — |  |  | (306) |
Additions based on tax positions related to the current year | 143 |  |  | 1,356 |  |  | 333 |
Expiration of the statute of limitations for the assessment of taxes | (474) |  |  | (490) |  |  | (824) |
Balance at end of fiscal year | $ | 4,745 |  |  | $ | 5,041 |  |  | $ | 3,911 |
Summary of Income Tax Examinations | The Company is generally no longer subject to income tax examinations by tax authorities in its major jurisdictions except for the fiscal years subject to audit as set forth in the table below:
Tax Jurisdiction |  | Fiscal Years Subject to Audit
U.S. federal |  | 2005, 2007, 2014* to 2017*, 2018, 2020 to the present
California (U.S.) (state return) |  | 2005 and 2019 to the present
Florida (U.S.) (state return) |  | 2011* to 2018*, 2020 to the present
Aruba |  | 2018 to the present
Barbados |  | 2017 to the present
Costa Rica |  | 2011 to 2012, 2015 to 2016, 2019 to the present
Colombia |  | 2017 to the present
Dominican Republic |  | 2011 to 2012, 2016, 2020 to the present
El Salvador |  | 2019 to the present
Guatemala |  | 2012 to 2013, 2019 to the present
Honduras |  | 2018 to the present
Jamaica |  | 2017 to the present
Mexico |  | 2019 to the present
Nicaragua |  | 2019 to the present
Panama |  | 2018 to the present
Trinidad |  | 2016 to the present
U.S. Virgin Islands |  | 2001 to the present
Spain |  | 2020 to the present
Chile |  | 2020* to the present
*Aeropost only

X
- References No definition available. + Details
Name: | us-gaap_IncomeTaxDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the components of income tax expense attributable to continuing operations for each year presented including, but not limited to: current tax expense (benefit), deferred tax expense (benefit), investment tax credits, government grants, the benefits of operating loss carryforwards, tax expense that results from allocating certain tax benefits either directly to contributed capital or to reduce goodwill or other noncurrent intangible assets of an acquired entity, adjustments of a deferred tax liability or asset for enacted changes in tax laws or rates or a change in the tax status of the entity, and adjustments of the beginning-of-the-year balances of a valuation allowance because of a change in circumstances that causes a change in judgment about the realizability of the related deferred tax asset in future years. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Paragraph 9 -Section 50 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-9 + Details
Name: | us-gaap_ScheduleOfComponentsOfIncomeTaxExpenseBenefitTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the components of net deferred tax asset or liability recognized in an entity's statement of financial position, including the following: the total of all deferred tax liabilities, the total of all deferred tax assets, the total valuation allowance recognized for deferred tax assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Paragraph 2 -Section 50 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-2 + Details
Name: | us-gaap_ScheduleOfDeferredTaxAssetsAndLiabilitiesTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the reconciliation using percentage or dollar amounts of the reported amount of income tax expense attributable to continuing operations for the year to the amount of income tax expense that would result from applying domestic federal statutory tax rates to pretax income from continuing operations. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Paragraph 12 -Section 50 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-12 + Details
Name: | us-gaap_ScheduleOfEffectiveIncomeTaxRateReconciliationTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of income before income tax between domestic and foreign jurisdictions. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 235 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(h)(1)(Note 1)) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480678/235-10-S99-1 + Details
Name: | us-gaap_ScheduleOfIncomeBeforeIncomeTaxDomesticAndForeignTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure for tax positions taken in the tax returns filed or to be filed for which it is more likely than not that the tax position will not be sustained upon examination by taxing authorities and other income tax contingencies. Includes, but is not limited to, interest and penalties, reconciliation of unrecognized tax benefits, unrecognized tax benefits that would affect the effective tax rate, tax years that remain subject to examination by tax jurisdictions, and information about positions for which it is reasonably possible that amounts unrecognized will significantly change within 12 months. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 15 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-15 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 15A -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-15A Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Section 50 -Paragraph 19 -SubTopic 10 -Topic 740 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-19 + Details
Name: | us-gaap_SummaryOfIncomeTaxContingenciesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of income tax examinations that an enterprise is currently subject to or that have been completed in the current period typically including a description of the examination, the jurisdiction conducting the examination, the tax year(s) under examination, the likelihood of an unfavorable settlement, the range of possible losses, the liability recorded, the increase or decrease in the liability from the prior period, and any penalties and interest that have been recorded. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 15 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-15 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 55 -Paragraph 217 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482663/740-10-55-217 + Details
Name: | us-gaap_SummaryOfIncomeTaxExaminationsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration