INCOME TAXES

6 Months Ended

Jun. 30, 2023

Income Tax Disclosure [Abstract]

INCOME TAXES

INCOME TAXES

The Company's quarterly income tax provision is measured using an estimate of its consolidated annual effective tax rate, which includes the impact of foreign withholding tax accruals and uncertain tax positions, adjusted for discrete items, within the periods presented. The comparison of the Company's income tax provision between periods can be significantly impacted by the level and mix of earnings and losses by tax jurisdiction and discrete items.

For the three months ended June 30, 2023, the Company recognized income tax expense of $21.2 million, as compared to $23.9 million in the same period for 2022. For the six months ended June 30, 2023, the Company recognized income tax expense of $38.1 million, as compared to $43.9 million in the same period for 2022. Income tax expense includes a U.S. tax benefit provided with respect to foreign earnings and the impact of changes to the level and mix of earnings, offset by an increase in foreign withholding tax accruals for the three and six months ended June 30, 2023.

The effective tax rates for the three and six months ended June 30, 2023 were adversely impacted by expenses that will not be able to be deducted on our tax return but reduced our pre-tax income, primarily the recognition of $15.7 million of research and development costs associated with the Kuprion acquisition, that were not in the prior year period.