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Income Taxes
6 Months Ended
Jun. 30, 2016
Income Tax Disclosure [Abstract]  
Income Taxes
Income Taxes
For the three and six months ended June 30, 2016, we had an income tax benefit of $3.6 million and $3.4 million, respectively, as a result of our net loss during both the first and second quarters of fiscal 2016. During the second quarter of 2016, management evaluated the positive and negative evidence and determined that no valuation allowance was needed as of June 30, 2016. Management's determination regarding no requirement for a valuation allowance at June 30, 2016 represents a significant estimate, which is susceptible to change in the near term if the Company experiences net losses in subsequent periods. For the three and six months ended June 30, 2015, we recorded no income tax provision or benefit. We recorded no income tax provision for the three and six months ended June 30, 2015 as a result of positive and negative evidence that management evaluated. Based on the analysis performed, management chose not to release any portion of the $11.4 million valuation allowance as of June 30, 2015.
We file income tax returns with the U.S. federal government and the state of California. As of June 30, 2016, we were subject to examination by the Internal Revenue Service with respect to our U.S. federal tax returns for the 2012 to 2014 tax years and Franchise Tax Board for California state income tax returns for the 2011 to 2014 tax years. Net operating losses on our U.S. federal and California state income tax returns may be carried forward twenty years. As of June 30, 2016, we do not believe there will be any material adverse changes in our unrecognized tax benefits over the next 12 months.
Our policy is to recognize interest and penalties accrued on any unrecognized tax benefits as a component of tax expense. We did not have any accrued interest or penalties associated with any unrecognized tax benefits, and no interest expense was recognized during the three and six months ended June 30, 2016 and 2015.