(6) INCOME TAXES

The Company’s provision for income taxes from operations is summarized as follows:


	Three months ended March 31,				Nine months ended March 31,
	2016		2015		2016		2015
Current Income Taxes	(in millions)
Federal	$	0.1	$	(1.7)	$	0.9	$	1.4
State		2.1		2.7		5.6		4.5
Foreign		(0.4)		—		0.8		0.8
Total	$	1.8	$	1.0	$	7.3	$	6.7
Deferred Income Taxes
Federal	$	4.7	$	(15.7)	$	14.6	$	(14.7)
State		1.2		(5.2)		(1.0)		(6.4)
Foreign		0.1		1.5		0.7		1.0
Total		6.0		(19.4)		14.3		(20.1)
Total provision/(benefit) for income taxes	$	7.8	$	(18.4)	$	21.6	$	(13.4)

The United States and foreign components of loss from operations before income taxes for the three and nine months ended March 31, 2016 and 2015 are as follows:


	Three months ended March 31,				Nine months ended March 31,
	2016		2015		2016		2015
	(in millions)
United States	$	(3.5)	$	(76.9)	$	(15.6)	$	(169.4)
Foreign		(8.0)		4.8		(8.1)		(4.4)
Total	$	(11.5)	$	(72.1)	$	(23.7)	$	(173.8)

The Company’s effective income tax rate differs from what would be expected if the federal statutory rate were applied to earnings before income taxes primarily because of certain expenses that represent permanent differences between book and tax expenses and deductions, such as the stock-based compensation expense related to the common units of Communications Infrastructure Investments, LLC (“CII”) that is recorded as an expense for financial reporting purposes but is not deductible for tax purposes (see Note 7 – Equity).

A reconciliation of the actual income tax provision and the tax computed by applying the U.S. federal rate to the earnings before income taxes during the three and nine-month periods ended March 31, 2016 and 2015 is as follows:


	Three months ended March 31,				Nine months ended March 31,
	2016		2015		2016		2015
	(in millions)
Expected benefit at the statutory rate	$	(3.9)	$	(25.3)	$	(8.2)	$	(60.9)
Increase/(decrease) due to:
Non-deductible stock-based compensation		5.2		8.8		22.6		51.0
State income taxes benefit, net of federal benefit		(0.2)		(3.8)		(0.7)		(8.3)
Transactions costs not deductible for tax purposes		0.6		0.3		1.1		0.6
Foreign tax rate differential		0.5		(0.1)		0.8		0.7
Other, net		5.6		1.7		6.0		3.5
Provision/(benefit) for income taxes	$	7.8	$	(18.4)	$	21.6	$	(13.4)

Each interim period, management estimates the annual effective tax rate and applies that rate to its reported year-to-date earnings. The tax expense or benefit related to items for which management is unable to make reliable estimates or that are significant, unusual, or extraordinary items that will be separately reported, or reported net of their related tax effect, are individually computed and are recognized in the interim period in which those items occur. In addition, the effect of changes in enacted tax laws, tax rates or tax status is recognized in the interim period in which the change occurs.

The computation of the annual estimated effective tax rate at each interim period requires certain estimates and significant judgments, including but not limited to the expected operating income for the year, projections of the proportion of income earned and taxed in various jurisdictions, permanent differences, and the likelihood of realizing deferred tax assets generated in both the current year and prior years. The accounting estimates used to compute the interim provision for income taxes may change as new events occur, more experience is acquired, additional information is obtained, or the tax environment changes.