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INCOME TAXES
6 Months Ended
Jul. 30, 2016
Income Tax Disclosure [Abstract]  
INCOME TAXES
INCOME TAXES
The Company computes income taxes using the liability method. This method requires recognition of deferred tax assets and liabilities, measured by enacted rates, attributable to temporary differences between the financial statement and income tax basis of assets and liabilities. The Company's deferred tax assets and liabilities are comprised largely of differences relating to depreciation, rent expense, inventory and various accruals and reserves.
The Company’s effective tax rate for the Second Quarter 2016 and Year-To-Date 2016 was 35.5% and 34.2%, respectively, compared to 32.6% and 29.3% during the Second Quarter 2015 and Year-To-Date 2015, respectively. The increase in the effective tax rate is due to the mix of income by jurisdiction and a tax benefit recorded for a reserve release in the first quarter of fiscal 2015, partially offset by a decrease in non-deductible expenses for fiscal 2016.
The Company recognized $0.1 million and $0.2 million during the Second Quarter 2016 and Year-To-Date 2016, respectively, of additional interest expense related to its unrecognized tax benefits. During the Second Quarter 2015 and Year-To-Date 2015 the Company recognized less than $0.1 million and $0.1 million, respectively. The Company recognizes accrued interest and penalties related to unrecognized tax benefits in income tax expense.
The Company is subject to tax in the United States and foreign jurisdictions, including Canada and Hong Kong. The Company, joined by its domestic subsidiaries, files a consolidated income tax return for Federal income tax purposes. The Company, with certain exceptions, is no longer subject to income tax examinations by U.S. Federal, state and local or foreign tax authorities for tax years 2011 and prior.
Management believes that an adequate provision has been made for any adjustments that may result from tax examinations; however, the outcome of tax audits cannot be predicted with certainty. If any issues addressed in the Company's tax audits are resolved in a manner not consistent with management's expectations, the Company could be required to adjust its provision for income tax in the period such resolution occurs.