Income Taxes (Tables)

12 Months Ended

Dec. 31, 2016

Schedule of Components of Income (Loss) Before Income Taxes

U.S. and international components of income (loss) before income taxes (in thousands) were comprised of the following for the periods indicated:

	Years Ended December 31,
	2016		2015		2014
U.S.	$	51,145	$	68,555	$	(5,389	)
Foreign		61,901		69,309		16,440
Total	$	113,046	$	137,864	$	11,051

Schedule of Provision for Income Taxes

The provision for income taxes (in thousands) consisted of the following for the periods indicated:

	Years Ended December 31,
	2016			2015			2014
Current:
Federal	$	18,453		$	11,748		$	(306	)
State		3,681			2,997			(1	)
Foreign		4,941			7,565			7,638
	$	27,075		$	22,310		$	7,331

Deferred:
Federal	$	(4,742	)	$	9,215		$	(2,132	)
State		(890	)		693			(1,038	)
Foreign		695			(285	)		1,855
	$	(4,937	)	$	9,623		$	(1,315	)
Total provision	$	22,138		$	31,933		$	6,016

Schedule of Effective Income Tax Rate Reconciliation

The provision for income taxes differs from the amount computed by applying the federal statutory income tax rate to the Company’s income before income taxes as follows for the periods indicated:

	Years Ended December 31,
	2016			2015			2014
Income tax expense at federal statutory rate		35.0	%		35.0	%		35.0	%
State taxes, net of federal tax effect		1.6	%		1.7	%		-4.3	%
Foreign earnings taxed at different rates		-15.5	%		-14.0	%		2.9	%
Withholding tax		1.4	%		1.1	%		14.3	%
Foreign tax credit		-1.0	%		-0.3	%		-9.6	%
Other international components		-0.1	%		0.8	%		0.8	%
Change in valuation allowance		-0.8	%		-0.1	%		21.1	%
Deferred tax adjustments and rate changes		0.1	%		-0.1	%		-4.9	%
Meals and entertainment		0.4	%		0.3	%		5.9	%
Non-deductible officers compensation		0.1	%		0.0	%		2.0	%
Personal use of corporate aircraft		0.1	%		0.1	%		2.5	%
Subpart F income		0.6	%		0.5	%		4.0	%
Research and development tax credit		-0.8	%		-0.6	%		-13.7	%
Section 199 Deduction		-1.8	%		-1.5	%		0.0	%
Other permanent differences		0.3	%		0.3	%		-1.6	%
Total		19.6	%		23.2	%		54.4	%

Schedule of Effective Tax Rate for Income Before Income Taxes

The Company’s U.S. and foreign effective tax rates for income before income taxes were as follows for the periods indicated:

	Years Ended December 31,
	2016			2015			2014
U.S.		32.3	%		36.0	%		64.5	%
Foreign		9.1	%		10.5	%		57.7	%
Combined		19.6	%		23.2	%		54.4	%

Schedule of Components of Deferred Tax Assets and Liabilities

Significant components of the Company’s deferred tax assets and liabilities (in thousands) were as follows for the periods indicated:

	December 31,
	2016			2015
Deferred tax assets, net:
Net operating loss carryforwards	$	214		$	501
Tax credits		1,372			2,984
Intangible assets		11			24
Deferred revenue adjustment		3,305			3,454
Accrued compensation		7,866			7,331
Share-based compensation expense		11,440			9,905
Deferred rent		1,281			2,409
Other		2,002			2,915
Deferred tax assets before valuation allowance		27,491			29,523
Valuation allowance		(832	)		(1,984	)
Deferred tax assets, net of valuation allowance		26,659			27,539

Deferred tax liabilities:
Prepaid expenses and other		1,098			1,389
Property and equipment		10,821			12,253
Capitalized software development costs		3,330			5,925
Total deferred tax liabilities		15,249			19,567
Total net deferred tax asset	$	11,410		$	7,972

Reported as:
Non-current deferred tax assets, net		11,704			7,989
Non-current deferred tax liabilities		(294	)		(17	)
Total net deferred tax asset	$	11,410		$	7,972

Schedule of Change In Unrecognized Tax Benefits

The change in unrecognized tax benefits (in thousands) is presented in the table below:

Unrecognized tax benefits at January 1, 2016	$	3,298
Increase related to positions taken in prior period		76
Increase related to positions taken in current period		241
Decrease related to expiration of statute of limitations		(100	)
Decrease related to settlement with tax authority		(394	)
Unrecognized tax benefits at December 31, 2016		3,121
Accrued interest		415
Unrecognized tax benefits recorded in other long-term liabilities at December 31, 2016	$	3,536