Taxes On Earnings (Tables)

12 Months Ended

Jan. 31, 2015

The provision for income taxes consisted of the following:



($000)	2014		2013			2012
Current
Federal	$	499,009	$	486,203		$	485,882
State	36,547		35,053			31,227
	535,556		521,256			517,109
Deferred
Federal	23,452		(11,055		)	(37,178		)
State	1,634		(4,195		)	(1,850		)
	25,086		(15,250		)	(39,028		)
Total	$	560,642	$	506,006		$	478,081

Provision for Taxes Effective Rate

The provision for taxes for financial reporting purposes is different from the tax provision computed by applying the statutory federal income tax rate. The differences are reconciled below:



	2014		2013		2012
Federal income taxes at the statutory rate	35	%	35	%	35	%
State income taxes (net of federal benefit) and other, net	3	%	3	%	3	%
Total	38	%	38	%	38	%

Components Of Deferred Income Taxes

The components of deferred income taxes at January 31, 2015 and February 1, 2014 are as follows:



($000)	2014			2013
Deferred Tax Assets
Accrued liabilities	$	77,791		$	87,835
Deferred compensation	33,456			31,034
Stock-based compensation	35,332			33,048
Deferred rent	26,370			17,888
California franchise taxes and credits	18,478			16,479
Employee benefits	23,136			16,177
Other	4,927			4,992
	219,490			207,453
Deferred Tax Liabilities
Depreciation	(252,013		)	(212,383		)
Merchandise inventory	(26,668		)	(28,558		)
Supplies	(11,616		)	(10,730		)
Prepaid expenses	(2,923		)	(4,426		)
	(293,220		)	(256,097		)
Net Deferred Tax Liabilities	$	(73,730	)	$	(48,644	)

Classified as:
Current net deferred tax asset	$	12,951		$	10,227
Long-term net deferred tax liability	(86,681		)	(58,871		)
Net Deferred Tax Liabilities	$	(73,730	)	$	(48,644	)

Unrecognized Tax Benefits

The changes in amounts of unrecognized tax benefits (gross of federal tax benefits and excluding interest and penalties) at fiscal 2014, 2013, and 2012 are as follows:



($000)	2014			2013			2012
Unrecognized tax benefits - beginning of year	$	80,323		$	65,667		$	56,524
Gross increases:
Tax positions in current period	15,441			15,591			11,009
Tax positions in prior period	—			2,418			4,167
Gross decreases:
Tax positions in prior periods	(9,432		)	(519		)	(1,476		)
Lapse of statute limitations	(5,732		)	(2,274		)	(1,312		)
Settlements	(2,484		)	(560		)	(3,245		)
Unrecognized tax benefits - end of year	$	78,116		$	80,323		$	65,667

- Definition

Tabular disclosure of tax positions taken in the tax returns filed or to be filed for which it is more likely than not that the tax position will not be sustained upon examination by taxing authorities (i.e., uncertain tax positions) and other types of income tax contingencies, including: (1) the policy on classification of interest and penalties; (2) a tabular reconciliation of the total amounts of unrecognized tax benefits at the beginning and end of the period; the total amount(s) of: (3) unrecognized tax benefits that, if recognized, would affect the effective tax rate, and (4) interest and penalties recognized in each of the income statement and balance sheet; (5) for positions for which it is reasonably possible that the total amounts unrecognized will significantly change within 12 months of the reporting date the: (i) nature of the uncertainty, (ii) nature of the event that could occur that would cause the change, and (iii) an estimate of the range of the reasonably possible change or a statement that an estimate of the range cannot be made; and (6) a description of tax years that remain subject to examination by major tax jurisdictions.

+ References+ Details