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Income Taxes
3 Months Ended
Mar. 31, 2016
Income Tax Disclosure [Abstract]  
Income Taxes
Income Taxes
The Company recognized an income tax benefit of $2.7 million and a provision of $1.8 million for the three months ended March 31, 2016 and 2015, respectively, which represents an effective tax rate of 44% and 31%, respectively. For the three months ended March 31, 2016, the Company realized an increase in the effective tax rate as compared to the same period of 2015 due primarily to the federal research tax credit in the first quarter of 2016. There was no federal research tax credit in the same period of the prior year as the credit provisions of the United States tax code had expired at the end of 2014 and were not reinstated until December 2015. In addition, the production deduction increased in the first quarter of 2016 compared to the same period of 2015.
The Company is subject to periodic audits by domestic and foreign tax authorities. Due to the carryforward of unutilized net operating loss and credit carryovers, the Company's federal tax years from 2009 and forward are subject to examination by the U.S. authorities. The Company's state and foreign tax years for 2001 and forward are subject to examination by applicable tax authorities. The Company believes that it has appropriate support for the income tax positions taken on its tax returns and that its accruals for tax liabilities are adequate for all open years based on an assessment of many factors, including past experience and interpretations of tax laws applied to the facts of each matter.