TAXES

3 Months Ended

Mar. 31, 2022

TAXES

TAXES

NOTE 7. TAXES

For the three months ended March 31, 2022 and 2021, the Company’s effective tax rate was 12.5% and 15.6%, respectively. The effective tax rate for the three months ended March 31, 2022 and 2021 was impacted by excess tax benefit on stock option exercises.

As of March 31, 2022, the $24.4 million “Income taxes receivable” in the Company’s consolidated balance sheet represents the expected federal and state tax refund for 2020 tax year, net of current year federal and state tax payable.

Deferred tax assets were evaluated by considering historical levels of income, estimates of future taxable income and the impact of tax planning strategies.

No uncertain tax positions were recorded as of March 31, 2022 and 2021. No change in uncertain tax positions is anticipated over the next twelve months.