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Note 7 - Income Taxes
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3 Months Ended |
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Sep. 30, 2011
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| Income Tax Disclosure [Text Block] |
7. Income
Taxes
Our
effective income tax rate was 41.4% for the three-month
period ended September 30, 2011, compared with 42.6% for the
three-month period ended September 30, 2010. In determining
our quarterly provision for income taxes, we use an estimated
annual effective tax rate, which is based on our expected
annual income, statutory tax rates, nontaxable and
nondeductible items of income and expense and the ultimate
outcome of tax audits.
The
Company follows ASC Topic 740-10-25 in Accounting for
Uncertainty in Income Taxes. Topic 740 prescribes a
recognition threshold and measurement attribute for the
financial statement recognition and measurement of a tax
position taken or expected to be taken in a tax return. As of
September 30, 2011, the Company recorded a $0.4 million
liability for unrecognized tax benefits, a portion of which
represents penalties and interest.
As
of September 30, 2011, we are subject to U.S. Federal income
tax examinations for the tax years 2007 through 2010. We file
tax returns in numerous state jurisdictions with varying
statutes of limitations.
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