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INCOME TAXES

The income tax provision for operations in fiscal 2016, 2015, and 2014, consisted of the following (in thousands):

	2016		2015			2014
Current:
Federal	$	2,692	$	(7,476	)	$	12,958
State and local		123		(2,634	)		1,013
Foreign		2,490		(1,636	)		509
Total current	$	5,305	$	(11,746	)	$	14,480
Deferred:
Federal		6,892		21,869			3,703
State and local		601		3,807			576
Foreign		766		6,715			931
Total deferred		8,259		32,391			5,210
Total	$	13,564	$	20,645		$	19,690

No benefit or expense has been recognized for U.S. federal income taxes on current undistributed earnings of foreign subsidiaries of approximately $8.6 million, $10.9 million, and $3.8 million at June 30, 2016, 2015, and 2014, respectively. This exception is allowable under ASC 740-30-50-2.

The Company's income tax expense in fiscal 2016, 2015, and 2014 varies from the statutory federal tax rate of 35% applied to income before income taxes as follows (in thousands):

	2016			2015			2014

Computed "expected" income tax expense	$	13,443		$	20,255		$	17,630
State taxes, net of federal benefit		391			763			1,033
Non-deductible expenses		1,002			818			1,705
Foreign tax rate differential		(861	)		(479	)		(383	)
Other, net		(411	)		(712	)		(295	)
Actual income tax expense	$	13,564		$	20,645		$	19,690

The tax effect of temporary differences that give rise to significant portions of the deferred tax assets and liabilities at June 30, 2016 and 2015 consisted of the following (in thousands):

	2016			2015
Deferred tax assets:
Net Operating Loss Carry Forwards	$	39,111		$	0
Insurance reserves		5,446			4,328
Accrued Expenses Not Deductible Until Paid		4,028			0
Deferred equity compensation		891			862
Other		228			5,195
Total deferred tax assets	$	49,704		$	10,385

Deferred tax liabilities:
Property and equipment	$	(149,339	)	$	(104,186	)
Goodwill		(6,357	)		(4,442	)
Other		(3,146	)		(2,920	)
Total deferred tax liabilities	$	(158,842	)	$	(111,548	)

Total net deferred tax liabilities	$	(109,138	)	$	(101,163	)

As of June 30, 2016, the Company had operating loss carryforwards for income tax purposes of approximately $120 million, which have expiration dates in 2034 and after.

As of June 30, 2016 and June 30, 2015, the Company recorded a $0.5 million income tax liability for unrecognized tax benefits, a portion of which represents penalties and interest. The only periods subject to examination for our federal returns are the 2012, 2013, and 2014 tax years.