Income Taxes

6 Months Ended

Jul. 03, 2020


	For the three months ended									For the six months ended
	July 3, 2020			June 28, 2019			July 3, 2020			June 28, 2019
Provision for income taxes	$	3,204		$	4,522		$	4,124		$	7,123
Effective tax rates	19.5		%	16.2		%	15.8		%	14.6		%

For the three and six months ended July 3, 2020, the difference between the Company's effective tax rate and the 21% federal statutory rate resulted primarily from a lower tax rate on foreign derived intangible income, research and development credits, and $646 and $686 in excess benefits related to stock-based compensation, respectively. For the three months ended April 3, 2020, the Company benefited from a negotiated reduction of Switzerland withholding tax on prior year earnings. These benefits were partially offset by state taxes, global low-tax intangible income tax and non-deductible expenses.

For the three and six months ended June 28, 2019, the difference between the Company's effective tax rate and the 21% federal statutory rate resulted primarily from lower foreign tax rates, a lower tax rate on foreign derived intangible income, research and development credits, and $1,808 and $3,635 from excess benefits related to stock-based compensation, respectively. These benefits were partially offset by state taxes, foreign withholding taxes and the impact of non-deductible expenses.

We do not expect the results from any ongoing income tax audit to have a material impact on our consolidated financial condition, results of operations, or cash flows.