XML 29 R17.htm IDEA: XBRL DOCUMENT v3.19.1
Income Taxes
3 Months Ended
Mar. 31, 2019
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
During the three months ended March 31, 2019 and 2018, the Company recorded approximately $13.6 million and $11.6 million of income tax expense, respectively. The effective tax rate (“ETR”) for the three months ended March 31, 2019 was 25.3% compared to a 22.5% ETR for the same period in 2018.
In arriving at these rates, the Company considered a variety of factors including the forecasted full year pre-tax results, the U.S. federal tax rate, expected non-deductible expenses and estimated state income taxes. The Company’s final ETR for the full year will be dependent on the level of pre-tax income, discrete items, the apportionment of taxable income among state tax jurisdictions and the extent of non-deductible expenses in relation to pre-tax income.
Income tax expense for the three months ended March 31, 2019 included a net credit for discrete items of $0.5 million relating to excess tax benefits resulting from stock-based compensation awards that vested and/or were exercised during the first quarter in 2019, which decreased the current quarter’s ETR by 1.0 percent. Income tax expense for the three months ended March 31, 2018 included a credit for discrete items of $1.8 million for excess tax benefits resulting from stock-based compensation awards that vested and/or were exercised during the first quarter in 2018.
The statutory tax rate consists of a federal income tax rate of 21% and a state income tax rate, net of federal benefit, of 3.6%.
The Company files its tax returns as prescribed by the tax laws of the jurisdictions in which it operates. As of March 31, 2019, the Company’s 2016 through 2018 tax years are still subject to examination by the Internal Revenue Service and various tax years remain open to examination in certain state jurisdictions.