INCOME TAXES

9 Months Ended

Sep. 26, 2020

Income Tax Disclosure [Abstract]

INCOME TAXES

INCOME TAXES

Income tax expense was $16.6 million and $7.1 million for the three months ended September 26, 2020 and September 28, 2019, respectively. The increase in income tax expense is due to higher income before income taxes. The effective tax rate for the three months ended September 26, 2020 was 24%, compared to 25% for the three months ended September 28, 2019.

Income tax expense was $30.7 million and $14.8 million for the nine months ended September 26, 2020 and September 28, 2019, respectively. The increase in income tax expense is due to higher income before income taxes. The effective tax rate for the nine months ended September 26, 2020 was 25%, compared to 24% for the nine months ended September 28, 2019.

For interim periods, our income tax expense and resulting effective tax rate are based upon an estimated annual effective tax rate adjusted for the effects of items required to be treated as discrete to the period, including changes in tax laws, changes in estimated exposures for uncertain tax positions, and other items.

On March 27, 2020, President Trump signed into law the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”). The CARES Act, among other things, includes provisions relating to refundable payroll tax credits, deferment of employer side social security payments, net operating loss carryback periods, alternative minimum tax credit refunds, modifications to the net interest deduction limitations and technical corrections to tax depreciation methods for qualified improvement property. The CARES Act did not result in a material cash benefit to us or have a material impact on our financial statements.