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Income Taxes
6 Months Ended
Oct. 31, 2020
Income Taxes [Abstract]  
Income Taxes
Note 13 Income Taxes

The effective tax rate for the three and six months ended October 31, 2020 was 0.1% and 13.7%, respectively, compared with 20.9% and 20.1% for the three and six months ended October 31, 2019, respectively. As a result of the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) and certain regulations issued in late July 2020, we were able to carry back certain U.S. net operating losses (“NOLs”), changing our estimated tax for the year ended April 30, 2020 and decreasing the rates for both the three and six months ended October 31, 2020.

In connection with the CARES Act and certain regulations, we elected to carry back our April 30, 2020 U.S. NOL to our year ended April 30, 2015 and claim a $20.7 million refund. This refund is reflected in Prepaid Expenses and Other Current Assets on our Unaudited Condensed Consolidated Statements of Financial Position. The NOL was carried back to fiscal year 2015 when the U.S. corporate tax rate was 35%.  The carryback to a year with a higher rate, plus certain additional net permanent deductions included in the carryback resulted in a $14.0 million tax benefit. As described below, the benefit for the six months ended October 31, 2020 was partially offset by an increase in the U.K. statutory rate.

During the three months ended July 31, 2020, the U.K. officially enacted legislation that increased its statutory rate from 17% to 19%. This resulted in a $6.7 million non-cash deferred tax expense from the re-measurement of our applicable U.K. net deferred tax liabilities.