Income Taxes (Tables)

12 Months Ended

Sep. 30, 2022

Income Tax Disclosure [Abstract]

Provision for Income Taxes

The provision for income taxes was as follows during fiscal 2022, 2021 and 2020: 

	Year ended September 30,
	2022		2021		2020
	(In thousands)
Current:
Federal	$	50,403	$	43,437	$	14,566
State	8,952		7,961		2,180
Foreign	30,597		35,615		12,482
	89,952		87,013		29,228
Deferred:
Federal	8,165		(4,602)		(8,575)
State	507		(948)		(957)
Foreign	(856)		(405)		893
	7,816		(5,955)		(8,639)
Total provision	$	97,768	$	81,058	$	20,589

Deferred Tax Assets and Liabilities

Deferred tax assets and liabilities at September 30, 2022 and 2021 were as follows: 

	September 30,
	2022		2021
	(In thousands)
Deferred tax assets:
Loss and credit carryforwards	$	19,122	$	30,311
Compensation benefits	29,344		29,305
Operating lease liabilities	13,065		17,076
Other assets	14,744		16,711
	76,275		93,403
Less: valuation allowance	(16,635)		(28,403)
Total deferred tax assets	59,640		65,000
Deferred tax liabilities:
Intangible assets	(14,263)		(10,518)
Deferred commission	(12,419)		(10,520)
Property and equipment	(327)		(487)
Operating lease right-of-use assets	(8,798)		(11,258)
Other liabilities	(12,030)		(11,668)
Total deferred tax liabilities	(47,837)		(44,451)
Deferred tax assets, net	$	11,803	$	20,549

Reconciliation Between Federal Statutory Income Tax Rate and Effective Tax Rate

A reconciliation of the provision for income taxes, with the amount computed by applying the U.S. federal statutory income tax rate of 21% to income before provision for income taxes for fiscal 2022, 2021 and 2020 is shown below:

	Year Ended September 30,
	2022		2021		2020
	(In thousands)
Income tax provision at U.S. federal statutory rate	$	98,975	$	99,360	$	53,970
State income taxes, net of U.S. federal benefit	8,359		7,815		4,619
Foreign tax rate differential	3,058		1,490		493
Research credits	(5,932)		(6,795)		(5,868)
Valuation allowance	(11,768)		3,839		5,332
Excess tax benefits relating to share-based compensation	702		(15,573)		(45,086)
GILTI, FDII, BEAT and FTC	(2,491)		(4,958)		7,136
Other	6,865		(4,120)		(7)
Recorded income tax provision	$	97,768	$	81,058	$	20,589

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,
	2022		2021		2020
	(In thousands)
Gross unrecognized tax benefits at beginning of year	$	10,897	$	7,994	$	5,834
Gross increases for tax positions in prior years	593		—		883
Gross decreases for tax positions in prior years	—		(385)		(65)
Gross increases based on tax positions related to the current year	3,250		5,273		2,260
Decreases for settlements and payments	—		(643)		—
Decreases due to statute expiration	(1,760)		(1,342)		(918)
Gross unrecognized tax benefits at end of year	$	12,980	$	10,897	$	7,994