Income Taxes

3 Months Ended

Oct. 01, 2021

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

The Company recorded an income tax (benefit) provision of $(441) and $2,198 on a (loss) income before income taxes of $(7,581) and $17,996 for the first quarters ended October 1, 2021 and October 2, 2020, respectively.

During the first quarters ended October 1, 2021 and October 2, 2020, the Company recognized a discrete tax provision of $715 related to stock-based compensation shortfalls and a discrete tax benefit of $2,480 related to excess benefits on stock-based compensation.

The effective tax rate for the first quarters ended October 1, 2021 and October 2, 2020 differed from the Federal statutory rate primarily due to Federal and State research and development credits, non-deductible compensation, stock-based compensation, and state taxes. In addition, during the first quarter ended October 1, 2021, the Company had certain unbenefited deferred tax assets.

During the first quarter ended October 1, 2021, there were no material changes to the Company's unrecognized tax positions.

Within the calculation of the Company's annual effective tax rate, the Company has used assumptions and estimates that may change as a result of future guidance and interpretation from the Internal Revenue Service (“IRS”).