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Income Taxes (Tables) | 12 Months Ended
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Aug. 31, 2021
Income Tax Disclosure [Abstract] |
Components of Income Tax Expense (Benefit) of Continuing Operations | Components of income tax expense (benefit) were as follows:
|  | Years ended August 31, |
(In thousands) |  | 2021 |  |  | 2020 |  |  | 2019 |
Current |  |  |  |  |  |  |  |  |  |  |  |
Federal |  | $ | (95,875 | ) |  | $ | 21,040 |  |  | $ | 18,894 |
State |  |  | 1,853 |  |  |  | 785 |  |  |  | 4,775 |
Foreign |  |  | 4,321 |  |  |  | 25,346 |  |  |  | 37,391 |
|  |  | (89,701 | ) |  |  | 47,171 |  |  |  | 61,060 |
Deferred |  |  |  |  |  |  |  |  |  |  |  |
Federal |  |  | 54,106 |  |  |  | (8,294 | ) |  |  | (8,559 | )
State |  |  | (2,351 | ) |  |  | 688 |  |  |  | (2,542 | )
Foreign |  |  | (3,362 | ) |  |  | 495 |  |  |  | (8,433 | )
|  |  | 48,393 |  |  |  | (7,111 | ) |  |  | (19,534 | )
Change in valuation allowance |  |  | 1,085 |  |  |  | 124 |  |  |  | 62 |
Income tax expense (benefit) |  | $ | (40,223 | ) |  | $ | 40,184 |  |  | $ | 41,588 |
Reconciliation Between Effective and Statutory Tax Rates on Operations | The reconciliation between effective and statutory tax rates on operations is as follows:
|  | Years ended August 31, |
|  | 2021 |  |  | 2020 |  |  | 2019 |
Federal statutory rate |  |  | (21.0 | )% |  |  | 21.0 | % |  |  | 21.0 | %
State income taxes, net of federal benefit |  |  | (15.0 | ) |  |  | 2.0 |  |  |  | 1.3 |
Foreign operations |  |  | 25.5 |  |  |  | 4.5 |  |  |  | 5.8 |
Carryback rate benefit |  |  | (379.1 | ) |  |  | — |  |  |  | — |
Permanent differences |  |  | (45.6 | ) |  |  | 8.9 |  |  |  | 3.6 |
Change in valuation allowance |  |  | 12.6 |  |  |  | 0.1 |  |  |  | — |
Uncertain tax positions |  |  | (44.0 | ) |  |  | 3.1 |  |  |  | — |
Noncontrolling interest in flow-through entity |  |  | (2.9 | ) |  |  | (6.1 | ) |  |  | (5.7 | )
Other |  |  | 0.7 |  |  |  | (1.3 | ) |  |  | 1.1 |
Effective tax rate |  |  | (468.8 | )% |  |  | 32.2 | % |  |  | 27.1 | %
Tax Effects of Temporary Differences that give rise to Significant Portions of Deferred Tax Assets and Deferred Tax Liabilities | The tax effects of temporary differences that give rise to significant portions of deferred tax assets and deferred tax liabilities were as follows:
|  | As of August 31, |
(In thousands) |  | 2021 |  |  | 2020 |
Deferred tax assets: |  |  |  |  |  |  |  |
Accrued payroll and related liabilities |  | $ | 23,724 |  |  | $ | 20,702 |
Deferred revenue |  |  | 7,375 |  |  |  | 7,943 |
Inventories and other |  |  | 16,760 |  |  |  | 17,191 |
Maintenance and warranty accruals |  |  | 2,538 |  |  |  | 3,044 |
Lease liability |  |  | 8,546 |  |  |  | 8,788 |
Net operating losses |  |  | 15,929 |  |  |  | 12,247 |
Investment, asset tax credits and other |  |  | 1,287 |  |  |  | 1,576 |
|  |  | 76,159 |  |  |  | 71,491 |
Valuation allowance |  |  | (10,356 | ) |  |  | (9,195 | )
Deferred tax liabilities: |  |  |  |  |  |  |  |
Fixed assets |  |  | (106,051 | ) |  |  | (53,180 | )
Original issue discount |  |  | (17,106 | ) |  |  | (4,992 | )
Intangibles |  |  | (3,014 | ) |  |  | (2,820 | )
Right-of-use asset |  |  | (8,921 | ) |  |  | (9,005 | )
Other |  |  | (3,960 | ) |  |  | — |
|  |  | (139,052 | ) |  |  | (69,997 | )
Net deferred tax liability |  | $ | (73,249 | ) |  | $ | (7,701 | )
Unrecognized Tax Benefits | The following is a tabular reconciliation of the total amounts of unrecognized tax benefits:
|  | Years ended August 31, |
(In thousands) |  | 2021 |  |  | 2020 |  |  | 2019 |
Unrecognized Tax Benefit – Opening Balance |  | $ | 5,502 |  |  | $ | 1,605 |  |  | $ | 1,608 |
Gross increases – tax positions in prior period |  |  | — |  |  |  | 4,034 |  |  |  | — |
Gross decreases – tax positions in prior period |  |  | (3,602 | ) |  |  | — |  |  |  | (3 | )
Settlements |  |  | — |  |  |  | — |  |  |  | — |
Lapse of statute of limitations |  |  | (335 | ) |  |  | (137 | ) |  |  | — |
Unrecognized Tax Benefit – Ending Balance |  | $ | 1,565 |  |  | $ | 5,502 |  |  | $ | 1,605 |

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