INCOME TAXES	3 Months Ended
Mar. 31, 2020
INCOME TAXES
INCOME TAXES	NOTE 13. INCOME TAXES Our effective tax rate for the three months ended March 31, 2020 was 0.1%, down from 27.4% for the three months ended March 31, 2019. This decrease was primarily due to non-deductible goodwill impairment charges as well as lower domestic earnings resulting in a year to date tax benefit offset by foreign earnings tax expense during the three months ended March 31, 2020 compared to the three months ended March 31, 2019. Gross unrecognized tax benefits, included in Other long-term liabilities in the consolidated balance sheets, were $8.4 million and $8.3 million as of March 31, 2020 and December 31, 2019, respectively. The gross unrecognized tax benefits, if recognized by the Company, will result in a reduction of approximately $300,000 to the provision for income taxes thereby favorably impacting the Company’s effective tax rate. The remaining $8.1 million is related to the acquired NRC net operating losses and is recorded as a reduction to our net operating losses deferred tax asset. We do not anticipate that the amount of existing unrecognized tax benefits will significantly increase or decrease within the next 12 months. Accrued interest and penalties related to unrecognized tax benefits are recorded as interest expense and selling, general and administrative expenses, respectively. The total accrued interest related to unrecognized tax benefits as of March 31, 2020 and December 31, 2019 were not significant. There is no accrual for penalties. The Company files income tax returns in the United States and various state, local and foreign jurisdictions. The Company is subject to examination by the IRS for tax years 2016 through 2019. The 2014 through 2019 state tax returns are subject to examination by state tax authorities. US Ecology Sarnia is currently under examination by the Canadian Revenue Agency for the pre-acquisition years 2016 and 2017. The tax years 2015 through 2019 remain subject to examination in our significant foreign jurisdictions. The Company does not anticipate any material change as a result of any current examinations in progress.

INCOME TAXES

3 Months Ended

Mar. 31, 2020

NOTE 13. INCOME TAXES

Our effective tax rate for the three months ended March 31, 2020 was 0.1%, down from 27.4% for the three months ended March 31, 2019. This decrease was primarily due to non-deductible goodwill impairment charges as well as lower domestic earnings resulting in a year to date tax benefit offset by foreign earnings tax expense during the three months ended March 31, 2020 compared to the three months ended March 31, 2019.

Gross unrecognized tax benefits, included in Other long-term liabilities in the consolidated balance sheets, were $8.4 million and $8.3 million as of March 31, 2020 and December 31, 2019, respectively. The gross unrecognized tax benefits, if recognized by the Company, will result in a reduction of approximately $300,000 to the provision for income taxes thereby favorably impacting the Company’s effective tax rate. The remaining $8.1 million is related to the acquired NRC net operating losses and is recorded as a reduction to our net operating losses deferred tax asset. We do not anticipate that the amount of existing unrecognized tax benefits will significantly increase or decrease within the next 12 months. Accrued interest and penalties related to unrecognized tax benefits are recorded as interest expense and selling, general and administrative expenses, respectively. The total accrued interest related to unrecognized tax benefits as of March 31, 2020 and December 31, 2019 were not significant. There is no accrual for penalties.

The Company files income tax returns in the United States and various state, local and foreign jurisdictions. The Company is subject to examination by the IRS for tax years 2016 through 2019. The 2014 through 2019 state tax returns are subject to examination by state tax authorities. US Ecology Sarnia is currently under examination by the Canadian Revenue Agency for the pre-acquisition years 2016 and 2017. The tax years 2015 through 2019 remain subject to examination in our significant foreign jurisdictions. The Company does not anticipate any material change as a result of any current examinations in progress.