Income Taxes (Tables)

12 Months Ended

Dec. 31, 2013

Schedule of Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits

The Company follows the provisions of the Financial Accounting Standards Codification 740 (“ASC 740”), “Accounting for Uncertainty in Income Taxes.” A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:



	2013			2012		2011
Beginning of year	$	4,168,000		$	2,476,000	$	2,483,000
Additions based on tax positions related to the current year	1,595,000			785,000		1,105,000
Additions for tax positions in prior years	1,633,000			907,000		208,000
Reductions for tax positions in prior years	(45,000		)	—		(78,000		)
Reductions as a result of completed audit examinations	—			—		(1,242,000		)
End of year	$	7,351,000		$	4,168,000	$	2,476,000

Schedule of Components of Provision For Income Taxes

The components of the provision for income taxes are as follows:



	2013		2012		2011
Currently payable:
Federal	$	95,285,094	$	76,507,760	$	63,307,583
State	3,259,000		2,450,000		1,663,000
Foreign	1,353,000		1,238,000		850,000
Total	99,897,094		80,195,760		65,820,583
Net deferred:
Primarily federal	5,237,000		843,000		13,943,000
Provision for income taxes	$	105,134,094	$	81,038,760	$	79,763,583

Schedule of Effective Income Tax Rates Different From Statutory Federal Income Tax Rates

The effective income tax rates are different from the statutory federal income tax rates for the following reasons:



	2013		2012		2011
Statutory federal income tax rate	35.0	%	35.0	%	35.0	%
State income taxes, net of federal income tax benefit	0.6		0.6		0.1
Domestic production exclusion	(3.1	)	(2.9	)	(2.3	)
Research tax credit	(0.4	)	—		—
Other	(0.1	)	(0.2	)	(0.2	)
Effective income tax rate	32.0	%	32.5	%	32.6	%

Schedule of Deferred Income Tax Assets And Liabilities

The tax effect of temporary differences which give rise to deferred income tax assets and liabilities at December 31, 2013 and 2012, are as follows:



	2013						2012
	Current			Non-Current			Current			Non-Current
Assets:
Accruals not currently deductible	$	2,970,671		$	182,803		$	3,721,183		$	186,997
Stock based compensation	13,290,429			2,202,940			12,044,953			1,696,966
Impairment loss on available-for-sale securities	—			175,091			—			327,308
Intangible Assets	—			169,913			—			—
Other	4,713,241			40,203			5,690,130			3,609
Total deferred income tax assets	20,974,341			2,770,950			21,456,266			2,214,880
Liabilities:
Excess tax over book depreciation	—			(41,374,851		)	—			(47,704,521		)
Patent costs	—			(1,792,968		)	—			(8,137,111		)
Unrealized gain on investments	—			(10,482,468		)	—			(3,146,585		)
Other	(558,249		)				(527,417		)	—
Net deferred income taxes	$	20,416,092		$	(50,879,337	)	$	20,928,849		$	(56,773,337	)