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Income Taxes
 9 Months Ended
Oct. 27, 2023
Income Tax Disclosure [Abstract]  
Income Taxes

NOTE 11. INCOME TAXES

 

Provision for Income Taxes

 

At the end of each quarter, the Company estimates its effective income tax rate pursuant to ASC 740. The rate for the period consists of the tax rate expected to be applied for the full year to ordinary income adjusted for any discrete items recorded in the period.

The Company recorded a tax benefit at an overall effective tax rate of 0.4% and 43.7% for the 13 weeks ended October 27, 2023, and October 28, 2022, respectively. The Company recorded a tax expense at an overall rate of (0.8)% for the 39 weeks ended October 27, 2023, and tax benefit at an overall effective tax rate of 40.5% for the 39 weeks ended October 28, 2022. The overall effective tax rate for the 13 and 39 weeks ended October 27, 2023 reflects the impacts resulting from the impairment of non-tax deductible goodwill recorded in the Third Quarter 2023. The overall effective tax rate for the 13 and 39 weeks ended October 28, 2022, reflect tax benefits recorded as a result of Lands’ End Japan closing costs recorded in the Third Quarter 2022.