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Income Taxes
9 Months Ended
Jun. 30, 2017
Income Tax Disclosure [Abstract]  
Income Taxes
Income Taxes

The effective tax rate for the quarter and year to date periods ended June 30, 2017 was 64.6% and 31.8% compared to (27.5)% and (3.2)% for the comparable periods in the prior year. The effective tax rates for the current year are higher than the comparable periods in fiscal 2016 due primarily to the difference in the amount of discrete tax benefits recognized in each period. The tax rates for the quarter and year to date periods were unfavorably impacted by the non-deductible impairment loss related to the agreement to sell our Völker business compared to the large favorable tax benefit of $18.8 million in the prior year related to the release of the valuation allowance on our deferred tax assets in France. The current year to date period also includes period tax benefits of $5.0 million primarily related to the adoption of the ASU 2016-09, as discussed in Note 1, partially offset by the expense to revalue the deferred tax assets due to the law change that reduced the future corporate income tax rate in France. The comparable prior year period included period tax benefits of $21.6 million primarily related to the release of the valuation allowance on our deferred tax assets in France and the retroactive reinstatement of the research credit.

In December 2016, the French parliament approved the Finance Act for 2017 and the Amended Finance Act for 2016 (the Finance Acts). The tax portion of the bill progressively reduces the corporate income tax rate from 33.3% to 28.0%. The Finance Acts were effective December 30, 2016.

On December 18, 2015, former President Obama signed into law a combined tax and government funding bill (H.R. 2029). The tax portion of the bill, the Protecting Americans from Tax Hikes Act (the PATH Act), extended and made permanent several lapsed business incentives that impact our business, including the extension of bonus depreciation as well as the retroactive and permanent extension of the research tax credit. The research credit had previously expired effective December 31, 2014.