Quarterly report pursuant to Section 13 or 15(d)

Income Taxes

v2.3.0.15
Income Taxes
 9 Months Ended
Sep. 30, 2011
Income Taxes  
Income Taxes

12.           The Company and its subsidiaries file income tax returns in the U.S. federal jurisdiction, and in various state and foreign jurisdictions. With a few exceptions, the Company is no longer subject to U.S. federal, state and local, or non-U.S. income tax examinations by tax authorities for years prior to 2008. The Company’s policy is to recognize interest related to unrecognized tax benefits as interest expense and penalties as operating expenses. The Company believes that it has appropriate support for the income tax positions it takes and expects to take on its tax returns, and that its accruals for tax liabilities are adequate for all open years based on an assessment of many factors including past experience and interpretations of tax law applied to the facts of each matter.

 

The provision consists of the following (in thousands):

 

 

 

Nine months ended

 

Three months ended

 

 

 

September 30,

 

September 30,

 

 

 

2011

 

2010

 

2011

 

2010

 

Current:

 

 

 

 

 

 

 

 

 

Federal

 

$

1,466

 

$

1,037

 

$

543

 

$

501

 

State

 

275

 

324

 

7

 

146

 

Canada

 

167

 

119

 

64

 

37

 

 

 

1,908

 

1,480

 

614

 

684

 

 

 

 

 

 

 

 

 

 

 

Deferred tax expense

 

340

 

320

 

276

 

116

 

 

 

$

2,248

 

$

1,800

 

$

890

 

$

800

 

 

 

 

 

 

 

 

 

 

 

Effective tax rate

 

38.7

%

38.0

%

37.3

%

38.9

%