TAXES ON INCOME (Tables)

12 Months Ended

Dec. 31, 2015

Income Tax Disclosure [Abstract]

Reconciliation of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

	2014			2015
Beginning balance	$	5,360		$	10,117
Additions (deductions) for prior year tax positions		(404	)		36
Additions for current year tax positions		5,161			2,153
Ending balance	$	10,117		$	12,306

Summary of Taxes on Income

Taxes on income are comprised as follows:

	Year ended December 31,
	2013			2014			2015
Current taxes	$	4,707		$	7,706		$	5,082
Deferred taxes		(699	)		(1,775	)		215
	$	4,008		$	5,931		$	5,297
Domestic	$	1,979		$	4,899		$	3,084
Foreign		2,029			1,032			2,213
	$	4,008		$	5,931		$	5,297

	Year ended December 31,
	2013			2014			2015
Domestic taxes:
Current taxes	$	1,692		$	5,538		$	2,715
Deferred taxes		287			(639	)		369
		1,979			4,899			3,084
Foreign taxes:
Current taxes		3,015			2,168			2,367
Deferred taxes		(986	)		(1,136	)		(154	)
		2,029			1,032			2,213
Taxes on income	$	4,008		$	5,931		$	5,297

Significant Components of Deferred Tax Liabilities and Assets

Significant components of the Company's and its subsidiaries' deferred tax liabilities and assets are as follows:

	December 31,
	2014			2015
Carryforward tax losses	$	2,068		$	1,625
Deferred revenues		2,096			4,172
Temporary differences		4,508			4,982
Intangible assets		556			294
Deferred tax assets before valuation allowance		9,228			11,073
Valuation allowance		(1,172	)		(1,032	)
Net deferred tax asset		8,056			10,041
Intangible assets, including goodwill		(2,515	)		(2,931	)
Depreciable assets		-			(1,840	)
Unrealized gains on marketable securities		(56	)		(419	)
Deferred tax liability		(2,571	)		(5,190	)
Net deferred tax assets	$	5,485		$	4,851

The net change in the total valuation allowance for the year ended December 31, 2015 was mainly relates to utilization of the capital losses carryforwards.

	December 31,
	2014		2015
Domestic deferred tax asset, net	$	1,386	$	598
Foreign deferred tax asset, net		4,099		4,253
	$	5,485	$	4,851

Reconciliation Between Theoretical and Actual Tax Expense

A reconciliation between the theoretical tax expense, assuming all income is taxed at the statutory tax rate applicable to income of the Company and the actual tax expense as reported in the statement of operations is as follows:

	Year ended December 31,
	2013			2014			2015
Income before taxes, as reported in the consolidated statements of income	$	22,063		$	30,881		$	23,866
Statutory tax rate		25	%		26.5	%		26.5	%
Theoretical tax expense on the above amount at the Israeli statutory tax rate	$	5,516		$	8,183		$	6,324
Tax adjustment in respect of different tax rate of foreign subsidiary		758			190			622
Non-deductible expenses and other permanent differences		544			772			322
Deferred taxes on losses for which valuation allowance was provided, net		-			270			377
Utilization of tax losses and deferred taxes  for which valuation allowance was provided, net		(320	)		-			(555	)
Stock compensation relating to stock options per ASC No. 718		1,343			1,624			1,186
Income taxes in respect of prior years		582			-			-
Approved, Privileged and Preferred enterprise benefits (*)		(4,338	)		(5,154	)		(3,047	)
Other		(77	)		46			68
Actual tax expense	$	4,008		$	5,931		$	5,297

(*)	Basic earnings per share amounts of the benefit resulting from the "Approved, Privileged and Preferred Enterprise" status	$	0.10	$	0.11	$	0.07
	Diluted earnings per share amounts of the benefit resulting from the "Approved, Privileged and Preferred Enterprise" status	$	0.09	$	0.11	$	0.06

Schedule of Income Before Income Taxes

Income before income taxes is comprised as follows:

	Year ended December 31,
	2013		2014		2015
Domestic	$	18,022	$	28,203	$	20,247
Foreign		4,041		2,678		3,619
Income before income taxes	$	22,063	$	30,881	$	23,866