INCOME TAXES

9 Months Ended

Sep. 30, 2021

Income Tax Disclosure [Abstract]

INCOME TAXES

INCOME TAXES

The tax provision for interim periods is determined using the estimated annual effective consolidated tax rate, based on the current estimate of full-year earnings and related estimated full year-taxes, adjusted for the impact of discrete quarterly items.

The effective tax rate for the three months ended September 30, 2021 and 2020, respectively, was 29.2% and 28.5%. The higher reported effective tax rate for the three months ended September 30, 2021 reflects lower tax benefits from employee stock-based compensation offset in part by a more favorable mix of earnings.

The effective tax rate for the nine months ended September 30, 2021 and 2020, respectively, was 22.9% and 29.4%. The effective tax rate for the nine months ended September 30, 2021 reflects higher additional tax benefits than the prior year from employee stock-based compensation and a more favorable mix of earnings.