Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

The provision for income taxes consists of the following:

The following summarizes the estimated tax effect of temporary differences that are included in the net deferred income tax provision:

	Years Ended December 31,
	2015			2014
Depreciation	$	222		$	213
Deferred grant income		65			(339	)
Track maintenance credit		216			1,123
Accrued casualty and other claims		87			19
Accrued compensated time off and related payroll taxes		16			(17	)
Share based compensation		(30	)		(41	)
Other		18			(167	)
Change in valuation allowance		(216	)		(852	)
	$	378		$	(61	)

The tax effect of significant items comprising the Company’s net deferred income tax liability as of December 31, 2015 and 2014 are as follows:

	December 31,
	2015			2014
Deferred income tax liabilities - Differences between book and tax basis of property and equipment	$	19,013		$	18,802
Deferred income tax assets:
Deferred grant income		4,649			4,714
Track maintenance credit carry forwards		1,240			1,456
Alternative minimum tax carry forwards		75			75
Accrued casualty and other claims		59			146
Accrued compensated time off and related payroll taxes		245			261
Share based compensation		311			281
Allowance for doubtful accounts and other		72			101
		6,651			7,034
Valuation allowance		(1,240	)		(1,456	)
Net deferred income tax liability	$	13,602		$	13,224

A reconciliation of the U.S. federal statutory rate to the effective tax rate is as follows:

	Years Ended December 31,
	2015			2014
Federal statutory rate		34	%		34	%
Nondeductible expenses, state income taxes, and other		5			3
Change in valuation allowance		(8	)		(23	)
Effective tax rate		31	%		14	%