9.INCOME TAXES

The Company’s pre-tax income (loss), income tax expense (benefit) and effective tax rate by jurisdiction are summarized in the table below:



	For the three months						For the three months
Amounts in thousands	ended March 31, 2015						ended March 31, 2014
	Pre-tax income (loss)		Income tax expense (benefit)		Effective tax rate		Pre-tax income (loss)		Income tax expense (benefit)		Effective tax rate
Canada	$	1,101	$	186		16.9%	$	971	$	233		24.0%
United States		(715)		19		(2.7%)		(567)		0		0.0%
Mauritius*		(28)		(1)		3.6%		40		1		2.5%
Austria		170		(18)		(10.6%)		(9)		0		(0.0%)
Poland		1,403		248		17.7%		6		(19)		(316.7%)
Total	$	1,931	$	434		22.5%	$	441	$	215		48.8%

*Ship-based casinos

During the three months ended March 31, 2015, the Company recognized income tax expense of $0.4 million on pre-tax income of $1.9 million, representing an effective income tax benefit rate of 22.5% compared to an income tax expense of $0.2 million on pre-tax income of $0.4 million, representing an effective income tax rate of 48.8% for the same period in 2014.

The decrease in the effective tax rate compared to the same period in 2014 is primarily the result of a lower effective tax rate for the Company’s Canadian operations due to exchange rate benefits and increased pre-tax income in Poland at a low pre-tax rate for the first quarter of 2015. In addition, the movement of exchange rates for intercompany loans denominated in U.S. dollars further impacts the Company’s effective income tax rate. Therefore, the Company’s overall effective income tax rate can be significantly impacted by foreign currency gains or losses. Since the Company maintains a full valuation allowance on all of its U.S. and Austrian deferred tax assets, income tax expense is recorded relative to the jurisdictions that recognize book earnings. Evaluating the need for and amount of a valuation allowance often requires significant judgment and extensive analysis of all the positive and negative evidence available. The valuation allowance for deferred tax assets in Austria continues to be monitored on a quarterly basis, and management may release the Austrian valuation allowance in 2015 in the event more positive evidence becomes available.