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Income Taxes
9 Months Ended
Dec. 31, 2016
Income Tax Disclosure [Abstract]  
Income Taxes

NOTE 5 — INCOME TAXES

At December 31, 2016, the Company had no U.S. federal net operating loss carry forwards and approximately $1.0 million of U.S. state net operating loss carry forwards included in net deferred tax assets that are available to offset future taxable income and can be carried forward for 20 years. Although realization is not assured, management believes it is more likely than not that all of the net deferred tax assets will be realized through tax planning strategies available in future periods and through future profitable operating results. The amount of the deferred tax asset considered realizable could be reduced or eliminated if certain tax planning strategies are not successfully executed or estimates of future taxable income during the carry forward period are reduced. If management determines that the Company would not be able to realize all or part of the net deferred tax asset in the future, an adjustment to the deferred tax asset would be charged to income in the period such determination was made.

The Company’s effective tax rate differs from the federal statutory rate primarily due to income and losses incurred in foreign jurisdictions and taxed at locally applicable tax rates, subpart F income included in the Company’s tax expense, expenses that are not deductible for federal income tax purposes, and state income taxes.

During the three months ended December 31, 2016, the Company made tax payments of approximately $1.2 million to the Internal Revenue Service (“IRS”) and approximately $0.3 million to state taxing authorities in accordance with the terms of a previously disclosed settlement agreement between the IRS and the Company pertaining to the IRS’ audit of the Company’s fiscal 2010-fiscal 2013 periods, the impacts of which the Company recorded to its fiscal year 2013-2016 financial statements.

The Company is subject to examination and assessment by tax authorities in numerous jurisdictions. As of December 31, 2016, the Company’s open tax years for examination for U.S. federal tax are fiscal 2014-fiscal 2016 and for U.S. states tax are fiscal 2012-fiscal 2016.

Based on the outcome of tax examinations or due to the expiration of statutes of limitations, it is reasonably possible that the unrecognized tax benefits related to uncertain tax positions taken in previously filed returns may be different from the liabilities that have been recorded for these unrecognized tax benefits. As a result, the Company may be subject to additional tax expense.