XML 22 R13.htm IDEA: XBRL DOCUMENT v3.22.4
Income Taxes
 6 Months Ended
Dec. 30, 2022
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
The Company recorded an income tax benefit of $2,151 and $155 on a loss before income taxes of $13,071 and $2,794 for the second quarters ended December 30, 2022 and December 31, 2021, respectively. The Company recorded an income tax benefit of $3,173 and $596 on a loss before income taxes of $28,428 and $10,375 for the six months ended December 30, 2022 and December 31, 2021, respectively.
During the second quarter ended December 30, 2022, the Company recognized a tax benefit of $2,348 related to a release of income tax reserves for unrecognized income tax benefits due to the expiration of the statute of limitations. During the six months ended December 30, 2022 and December 31, 2021, the Company recognized a tax provision of $1,745 and $878 related to stock compensation shortfalls, respectively.
The effective tax rate for the second quarters ended December 30, 2022 and December 31, 2021 differed from the federal statutory rate primarily due to federal and state research and development credits, non-deductible compensation, stock compensation shortfalls and state taxes. The effective tax rate for the second quarter ended December 30, 2022 also differed from the federal statutory rate due to the release of income tax reserves for previously unrecognized income tax benefits.
On August 16, 2022, President Biden signed the Inflation Reduction Act of 2022 into law which contained provisions that include a 15% corporate minimum tax effective for taxable years beginning after December 31, 2022 and a 1% excise tax on certain stock buybacks after December 31, 2022. The Company expects the impact of this legislation to be immaterial.
Effective for tax years beginning after December 31, 2021, the Tax Cuts and Jobs Act of 2017 requires companies to capitalize and amortize domestic research and development expenditures over five years for tax purposes, and foreign research and development expenditures over fifteen years for tax purposes.