XML 32 R23.htm IDEA: XBRL DOCUMENT v3.21.4
Income Taxes
 9 Months Ended
Dec. 31, 2020
Income Tax Disclosure [Abstract]  
Income Tax Disclosure
13.    Income Taxes

Income tax expense (benefit) as a percentage of income (loss) from continuing operations before income tax expense was 10% and 9% in the three months ended December 31, 2021 and December 31, 2020, respectively and 13% and (45)% in the nine months ended December 31, 2021 and December 31, 2020, respectively. Typically these percentages vary from the U.S. statutory rate of 21% primarily due to varying effective tax rates at the Company's foreign subsidiaries, and the jurisdictional mix of income for these subsidiaries.

For the three months ended December 31, 2021, the rates are lower than the U.S. statutory rate by 8 percentage points primarily due to the impact of carrying back a taxable loss in FY 2021 to prior tax years. For the nine months ended December 31, 2021, the rates are lower than the U.S. statutory rate by 9 percentage points primarily as a result of the impact of carrying back the taxable loss in FY 2021 to prior tax years as well as the impact of equity compensation.

For the three months ended December 31, 2020, the rates are lower than the U.S. statutory rate primarily as a result of pre-tax losses in certain jurisdictions. For the nine months ended December 31, 2020, the rates are lower than the U.S. statutory rate primarily as a result of the impacts associated with pre-tax losses in the U.S. related to the pension settlement expense recorded
of $18,933,000 for the year, the U.S. R&D credit, and the utilization of net operating losses that previously had a full valuation allowance against them.

The Company estimates that the effective tax rate related to continuing operations will be approximately 15% to 17% for fiscal 2022.

Refer to the Company’s consolidated financial statements included in its 2021 10-K for further information on income taxes.