Income Taxes

6 Months Ended

Dec. 31, 2021

Income Taxes

Income Taxes

4.   Income Taxes

The provision for income taxes is based on earnings reported in the condensed consolidated financial statements. A deferred income tax asset or liability is determined by applying currently enacted tax laws and rates to the expected reversal of the cumulative temporary differences between the carrying value of assets and liabilities for financial statement and income tax purposes. Deferred income tax expense or benefit is measured by the change in the deferred income tax asset or liability during the period. For the three months ended December 31, 2021 and 2020, the Company’s effective income tax rate was 27.5% and 30.3%, respectively, and for the six months ended December 31, 2021 and 2020, the rate was 26.5% and 18.2%, respectively.