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Income Taxes
9 Months Ended
Jun. 26, 2020
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
Our income tax expense, deferred tax assets and liabilities, and reserves for unrecognized tax benefits reflect management's best assessment of estimated current and future taxes to be paid. We are subject to income taxes in the United States and numerous foreign jurisdictions. Significant judgments and estimates are required in determining the consolidated income tax expense.
Unrecognized Tax Benefit
As of June 26, 2020, the total amount of gross unrecognized tax benefits was $60.9 million, of which $36.6 million, if recognized, would reduce our effective tax rate. As of September 27, 2019, the total amount of gross unrecognized tax benefits was $108.5 million, of which $72.8 million, if recognized, would reduce our effective tax rate. The fiscal 2020 decrease was primarily due to the release of liabilities related to unrecognized tax benefits affecting prior periods for which the statute of limitations lapsed in the quarter ended June 26, 2020. Our net liability for unrecognized tax benefits is classified within other non-current liabilities in our consolidated balance sheets.
Effective Tax Rate
Each period, a combination of different factors can impact our effective tax rate. These factors include both recurring items such as tax rates and the relative amount of income earned in foreign jurisdictions, as well as discrete items such as changes to our uncertain tax positions, that may occur in, but are not necessarily consistent between periods.
Our effective tax rate in the third quarter of fiscal 2020 was (68.5)% or a tax benefit of $(27.4) million, compared to our Federal statutory rate of 21% and our effective tax rate in the third quarter of fiscal 2019 of 5.2% or a tax expense of $2.2 million. The decrease in our tax expense was primarily due to the release of liabilities related to unrecognized tax benefits from prior periods due to a lapse in the statute of limitations in the quarter ended June 26, 2020.
Our effective tax rate in the third quarter of fiscal 2020 year-to-date period was 0.3% or a tax expense of $0.6 million, compared to our Federal statutory rate of 21% and our effective tax rate in the third quarter of fiscal 2019 year-to-date period of 6.4% or a tax expense of 14.5 million. The decrease in our tax expense was primarily due to the release of liabilities related to unrecognized tax benefits from prior periods due to a lapse in the statute of limitations in the quarter ended June 26, 2020.