NOTE 15 — Income Taxes

The effective tax rates for 2015 and 2014 are as follows:


	Three Months Ended				Nine Months Ended
	September 27, 2015		September 28, 2014		September 27, 2015		September 28, 2014
Effective tax rate	31.2	%	31.9	%	(59.2)	%	36.1	%

The 2015 effective tax rate for the three months ended September 27, 2015 reflects the change in the mix of earnings by jurisdiction as well as the impact of true ups related to the filing of 2014 tax returns. For the nine months ended September 27, 2015, the effect of the uncertain tax benefits increased the effective tax rate by 42.9 percentage points and the effect of amending the tax returns for 2006 to 2013 decreased the effective rate by 122.1 percentage points

The 2014 effective tax rate reflected higher profits, primarily from a change in the mix of earnings by jurisdiction, and the effect of tax adjustments which decreased the effective rate by 3.3 percentage points in the third quarter of 2014 and increased the effective rate by 0.4 percentage points in the first nine months of 2014.

CTS’ continuing practice is to recognize interest and/or penalties related to income tax matters as income tax expense. For the three and nine months ended September 27, 2015 and September 28, 2014, CTS included $136,000 and $957,000 of interest or penalties in income tax expense. CTS did not accrue any interest or penalties into income tax expense for the three and nine months ended September 28, 2014.