Income Taxes (Tables)

12 Months Ended

Sep. 30, 2015

Income Tax Disclosure [Abstract]

Provision for Income Taxes

The provision for income taxes was as follows during fiscal 2015, 2014 and 2013:

	Year ended September 30,
	2015			2014			2013
	(In thousands)
Current:
Federal	$	23,646		$	42,570		$	31,469
State	(5,381		)	4,221			2,755
Foreign	10,405			7,487			3,994
	28,670			54,278			38,218
Deferred:
Federal	(5,004		)	(15,401		)	(468		)
State	1,422			(1,093		)	2,069
Foreign	(2,352		)	468			2,070
	(5,934		)	(16,026		)	3,671
Total provision	$	22,736		$	38,252		$	41,889

Deferred Tax Assets and Liabilities

Deferred tax assets and liabilities at September 30, 2015 and 2014 were as follows:

	September 30,
	2015			2014
	(In thousands)
Deferred tax assets:
Net operating loss carryforward	$	17,650		$	18,618
Research credit carryforward	5,759			5,018
Accrued bonus	5,400			8,484
Investments	1,042			1,059
Accrued compensation	1,834			1,381
Share-based compensation	23,741			20,238
Deferred revenue	979			629
Accrued lease costs	5,009			1,007
Property and equipment	3,249			2,837
Other	5,613			4,731
	70,276			64,002
Less valuation allowance	(13,882		)	(12,078		)
Total deferred tax assets	56,394			51,924
Deferred tax liabilities:
Intangible assets	(30,286		)	(27,391		)
Prepaid expense	(3,877		)	(3,966		)
Other	(993		)	(993		)
Total deferred tax liabilities	(35,156		)	(32,350		)
Deferred tax assets, net	$	21,238		$	19,574

Reconciliation Between Federal Statutory Income Tax Rate and Effective Tax Rate

The reconciliation between the U.S. federal statutory income tax rate of 35% and our effective tax rate is shown below for fiscal 2015, 2014 and 2013:

	Year Ended September 30,
	2015			2014			2013
	(In thousands)
Income tax provision at U.S. federal statutory rate	$	38,233		$	46,595		$	46,194
State income taxes, net of U.S. federal benefit	1,719			2,832			2,689
Foreign tax rate differential	(5,279		)	(4,592		)	(2,855		)
Intercompany interest	(1,260		)	(1,246		)	—
Research credits	(2,104		)	(302		)	(2,412		)
Domestic production deduction	(1,607		)	(3,141		)	(2,168		)
Federal and state audit settlements	(5,806		)	(5,886		)	—
Foreign	(3,109		)	(1,654		)	—
Valuation allowance	1,805			3,888			2,310
Intercompany dividend	(1,296		)	150			(32		)
Other	1,440			1,608			(1,837		)
Recorded income tax provision	$	22,736		$	38,252		$	41,889

Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

	Year Ended September 30,
	2015			2014			2013
	(In thousands)
Gross unrecognized tax benefits at beginning of year	$	4,554		$	9,009		$	7,501
Gross increases for tax positions in prior years	1,725			2,468			508
Gross decreases for tax positions in prior years	(3		)	(967		)	—
Gross increases based on tax positions related to the current year	582			923			1,000
Decreases for settlements and payments	(2,224		)	(6,879		)	—
Gross unrecognized tax benefits at end of year	$	4,634		$	4,554		$	9,009