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Income Taxes | 6 Months Ended
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Jun. 30, 2018
Income Tax Disclosure [Abstract] |
Income Taxes | Income Taxes Our income tax provision for the periods presented and the respective effective income tax rates for such periods are as follows (in millions, except for income tax rates):
|  | For the Three Months Ended |  | For the Six Months Ended
|  | June 30, |  | June 30,
|  | 2018 |  | 2017 |  | 2018 |  | 2017
Income tax provision |  | $ | 12.4 |  |  | $ | 4.6 |  |  | $ | 19.7 |  |  | $ | 9.6 |
Effective income tax rate |  | 29.7 | % |  | 13.2 | % |  | 24.6 | % |  | 13.5 | %
Our provision for income taxes for the three months ended June 30, 2018 was $12.4 million. Our provision for income taxes was adjusted for an income tax benefit of $3.9 million, net, for discrete items primarily related to an adjustment for stock based compensation in accordance with ASU 2016-09, an adjustment pursuant to the accounting of the Act, and changes in the valuation allowance in various jurisdictions. Without the $3.9 million in discrete items, the effective income tax rate would have been 39.2% for the three months ended June 30, 2018. Our provision for income taxes for the three months ended June 30, 2017 was $4.6 million and was adjusted for an income tax expense of $2.7 million, net, for discrete items related to changes in estimates in uncertain tax positions. Without the $2.7 million in discrete items, the three months ended June 30, 2017 effective income tax rate would have been 5.4%. Our provision for income taxes for the six months ended June 30, 2018 was $19.7 million and was adjusted for an income tax benefit of $8.8 million, net, for discrete items primarily related to an adjustment pursuant to the accounting of the Act, changes in estimates in uncertain tax positions, an adjustment for stock based compensation in accordance with ASU 2016-09, and changes in the valuation allowance in various jurisdictions. Without the $8.8 million benefit in discrete items, the effective income tax rate would have been 35.6%. Our provision for income taxes for the six months ended June 30, 2017 was $9.6 million and was adjusted for an income tax expense of $3.9 million, net, for discrete items primarily related to changes in estimates in uncertain tax positions , and an adjustment for stock based compensation in accordance with ASU 2016-09. Without the $3.9 million expense in discrete items, the effective income tax rate would have been 8.1%. Our provision for income taxes for each of the three and six months ended June 30, 2018 and 2017 was calculated based on the estimated annual effective income tax rate for 2018 and 2017 fiscal years. The actual effective income tax rate for the 2018 fiscal year may be materially different as a result of differences between estimated versus actual results and the geographic tax jurisdictions in which the results are earned. We have various income tax returns under examination both in the U.S. and in foreign jurisdictions. The most significant of these are in Korea for the 2011 to 2014 tax years, in Denmark for the 2013 to 2015 tax years and the U.S. for the 2013 to 2016 tax years. In 2017, the South Korea branch of one of our subsidiaries received income tax assessment notices for the years 2011 to 2014 totaling $10.6 million (KRW 11.3 billion). We believe that these assessments are without merit and are currently appealing the actions. During the quarter ended March 31, 2018, one of our Denmark subsidiaries received an audit inquiry from the Denmark tax authorities relating to transfer pricing and related issues for the tax years 2013 to 2015. In addition, in 2017, we received a notice of examination from the U.S. Internal Revenue Service for the 2013 to 2016 tax years. We are currently responding to the requests from the U.S. and Denmark tax authorities. An unfavorable resolution of one or more of the above matters could have a material adverse effect on our results of operations or cash flows in the quarter and year in which an adjustment is recorded or the tax is due or paid. As audits and examinations are still in process or we have not yet reached the final stages of the appeals process, the timing of the ultimate resolution and any payments that may be required for the above matters cannot be determined at this time.

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- 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 Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -URI http://asc.fasb.org/topic&trid=2144680 + Details
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