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Income Taxes
9 Months Ended
Sep. 30, 2013
Income Tax Disclosure [Abstract]  
Income Taxes
Income Taxes
For the third quarter and first nine months of 2013, the Company recorded an income tax provision of $3.0 million and $2.5 million, respectively. The Company is recording tax expense on a book loss because the majority of goodwill impairment booked in the first quarter of 2013 was nondeductible for tax resulting in a small tax benefit being booked on the goodwill impairment.
The Company’s effective income tax rate for the first nine months of 2013 was a negative 1.3 percent. The difference between the federal statutory income tax rate of 35 percent and the Company’s effective rate of negative 1.3 percent for the first nine months of 2013 is primarily due to the impact of impairment of goodwill (approximately 35.8 percent) and other items (approximately 0.5 percent).
The Company recorded an income tax benefit of $1.3 million and an income tax provision of $10.9 million for the third quarter and first nine months of 2012, respectively. The Company's effective income tax rate for the first nine months of 2012 was 37.9 percent. The difference between the federal statutory income tax rate of 35 percent and the Company’s effective rate of 37.9 percent for the first nine months of 2012 is primarily due to state income taxes, net of federal benefit (approximately 5.0 percent) and other items (approximately 0.4 percent), partially offset by changes in tax reserves (approximately 2.5 percent).