Note 9 - Income Taxes

6 Months Ended

Jun. 01, 2024

Notes to Financial Statements

Income Tax Disclosure [Text Block]

Note 9: Income Taxes

Income tax expense for the three and six months ended June 1, 2024 includes $1,317 of discrete tax expense and $1,210 of discrete tax benefit, respectively, relating to various foreign tax matters, as well as an excess tax benefit related to U.S. stock compensation. Excluding the discrete tax expense and benefit, the overall effective tax rate was 28.9 percent and 28.4 percent for the three and six months ended June 1, 2024, respectively. 

Income tax expense for the three and six months ended June 3, 2023 includes $2,042 and $2,888 of discrete tax expense, respectively, relating to various foreign tax matters offset by an excess tax benefit related to U.S. stock compensation. Excluding the discrete tax expense, the overall effective tax rate was 29.5 percent and 29.4 percent for the three and six months ended June 3, 2023, respectively.

As of  June 1, 2024, we had a liability of $14,097 recorded for gross unrecognized tax benefits (excluding interest) compared to $14,254 as of December 2, 2023. As of June 1, 2024 and December 2, 2023, we had accrued $6,797 and $6,310 of gross interest relating to unrecognized tax benefits, respectively.