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Income Taxes | 12 Months Ended
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Aug. 27, 2016
Income Tax Disclosure [Abstract] |
Income Taxes | Income Taxes Income tax expense consisted of the following:
|  | Year Ended
(In thousands) |  | August 27, 2016 |  | August 29, 2015 |  | August 30, 2014
Current |  |  |  |  |  |
Federal |  | $ | 14,293 |  |  | $ | 15,406 |  |  | $ | 17,923 |
State |  | 1,685 |  |  | 1,124 |  |  | (170 | )
Total |  | 15,978 |  |  | 16,530 |  |  | 17,753 |
Deferred |  |  |  |  |  |
Federal |  | 4,280 |  |  | 1,486 |  |  | 1,415 |
State |  | 444 |  |  | 308 |  |  | 456 |
Total |  | 4,724 |  |  | 1,794 |  |  | 1,871 |
Income Tax Expense |  | $ | 20,702 |  |  | $ | 18,324 |  |  | $ | 19,624 |
The following table provides a reconciliation of the US statutory income tax rate to our effective income tax rate:
|  | Year Ended
(A percentage) |  | August 27, 2016 |  |  | August 29, 2015 |  | August 30, 2014
US federal statutory rate |  | 35.0 | % |  | 35.0 | % |  | 35.0 | %
State taxes, net of federal benefit |  | 2.5 | % |  | 2.4 | % |  | 2.3 | %
Tax-free and dividend income |  | (1.3 | )% |  | (1.3 | )% |  | (1.5 | )%
Income tax credits |  | (1.1 | )% |  | (0.3 | )% |  | (0.4 | )%
Domestic production activities deduction |  | (2.5 | )% |  | (3.7 | )% |  | (2.8 | )%
Other permanent items |  | (1.3 | )% |  | (0.8 | )% |  | (0.9 | )%
Valuation allowance |  | — | % |  | — | % |  | (0.4 | )%
Uncertain tax positions settlements and adjustments |  | — | % |  | (0.5 | )% |  | (1.0 | )%
Effective tax provision rate |  | 31.3 | % |  | 30.8 | % |  | 30.3 | %
The tax effects of temporary differences that give rise to deferred income taxes were as follows:
(In thousands) | August 27, 2016 |  | August 29, 2015
Deferred income tax asset (liability) |  |  |
Deferred compensation | $ | 9,609 |  |  | $ | 10,757 |
Warranty reserves | 4,729 |  |  | 4,288 |
Postretirement health care benefits | 2,262 |  |  | 12,792 |
Self-insurance reserve | 2,214 |  |  | 2,378 |
Accrued vacation | 2,006 |  |  | 1,938 |
Stock based compensation | 1,030 |  |  | 1,239 |
Unrecognized tax benefit | 698 |  |  | 726 |
Other (1) | 1,785 |  |  | 1,592 |
Total deferred tax assets | 24,333 |  |  | 35,710 |
Inventory | (1,930 | ) |  | (2,383 | )
Depreciation | (3,650 | ) |  | (1,338 | )
Total deferred tax liabilities | (5,580 | ) |  | (3,721 | )
Total deferred income tax assets, net of deferred tax liabilities | $ | 18,753 |  |  | $ | 31,989 |
(1) | At August 27, 2016, Other includes $95,000 related to state NOLs that will begin to expire in Fiscal 2021. We have evaluated all the positive and negative evidence and consider it more likely than not that these carryforwards can be realized.
Unrecognized Tax Benefits Changes in the unrecognized tax benefits are as follows:
(In thousands) | August 27, 2016 |  | August 29, 2015 |  | August 30, 2014
Unrecognized tax benefits - beginning balance | $ | 1,589 |  |  | $ | 1,709 |  |  | $ | 2,134 |
Gross decreases - tax positions in a prior period | (355 | ) |  | (568 | ) |  | (816 | )
Gross increases - current period tax positions | 476 |  |  | 448 |  |  | 391 |
Unrecognized tax benefits - ending balance | 1,710 |  |  | 1,589 |  |  | 1,709 |
Accrued interest and penalties | 751 |  |  | 922 |  |  | 1,315 |
Total unrecognized tax benefits | $ | 2,461 |  |  | $ | 2,511 |  |  | $ | 3,024 |
The amount of unrecognized tax benefits is not expected to change materially within the next 12 months. If the remaining uncertain tax positions are ultimately resolved favorably, $1.8 million of unrecognized tax benefits would have a positive impact on our effective tax rate. It is our policy to recognize interest and penalties accrued relative to unrecognized tax benefits into tax expense. We file tax returns in the US federal jurisdiction, as well as state jurisdictions and in Canada. Although certain years are no longer subject to examinations by the IRS and various state taxing authorities, NOL carryforwards generated in those years may be adjusted upon examination by the IRS or state taxing authorities if they have been or will be used in a future period. As of August 27, 2016, our federal returns from Fiscal 2013 to present are subject to review by the IRS. As of August 27, 2016, our Fiscal 2014 Federal return is being reviewed. We anticipate this audit to be concluded with no material adjustments. With limited exception, state returns from Fiscal 2013 to present continue to be subject to review by state taxing jurisdictions. A number of years may lapse before an uncertain tax position is audited and finally resolved and it is difficult to predict the outcome of such audits. During the year, we finalized a state audit with a nominal impact.

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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://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(h)) -URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=65882285&loc=d3e32559-109319 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=65882285&loc=d3e32718-109319 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=65882285&loc=d3e32639-109319 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=65882285&loc=d3e32537-109319 + Details
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