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Income Taxes
9 Months Ended
Sep. 30, 2016
Income Tax Disclosure [Abstract]  
Income Taxes
Income Taxes

We recorded income tax expense at an effective rate of 35.3% for the three months ended September 30, 2016, as compared to an effective rate of 37.1% for the three months ended September 30, 2015. The 2016 rate was favorably impacted by the United States Work Opportunity Tax Credit ("WOTC"), which was enacted in December of 2015 and extends through 2019. The 35.3% effective tax rate in the quarter was higher than the United States Federal statutory rate of 35%, due primarily to the French business tax, expected repatriations, valuation allowances and other permanent items. We currently expect an annual effective tax rate of approximately 37%.

We recorded income tax expense at an effective rate of 37.3% for the nine months ended September 30, 2016, as compared to an effective rate of 38.6% for the nine months ended September 30, 2015. The 2016 rate was favorably impacted by WOTC. The 37.3% effective tax rate for the nine months ended September 30, 2016 was higher than the United States Federal statutory rate of 35% due primarily to the French business tax, expected repatriations, valuation allowances and other permanent items.

As of September 30, 2016, we had gross unrecognized tax benefits related to various tax jurisdictions, including interest and penalties, of $44.6. We had offsetting tax benefits of $1.0, and the net amount of $43.6 would favorably impact the effective tax rate if recognized. As of December 31, 2015, we had gross unrecognized tax benefits related to various tax jurisdictions, including interest and penalties, of $38.9. We had offsetting tax benefits of $1.0 for a net amount of $37.9. Our unrecognized tax benefits may decrease over the next 12 months pending the resolution of certain tax audits during this time.
 
We conduct business globally in various countries and territories. We are routinely audited by the tax authorities of the various tax jurisdictions in which we operate. Generally, the tax years that could be subject to examination are 2009 through 2015 for our major operations in France, Germany, Japan, the United Kingdom and the United States. As of September 30, 2016, we are subject to tax audits in Austria, Canada, Denmark, France, Germany, Italy, Portugal, Spain and the United States. We believe that the resolution of these audits will not have a material impact on earnings.