Quarterly report pursuant to Section 13 or 15(d)

Note 3 - Income Taxes

Note 3 - Income Taxes
3 Months Ended
Sep. 30, 2017
Notes to Financial Statements  
Income Tax Disclosure [Text Block]
Income Taxes
The Company reviews its expected annual effective income tax rates and makes changes on a quarterly basis as necessary based on certain factors such as changes in forecasted annual operating income; changes to actual or forecasted permanent book to tax differences; impacts from future tax audits with state, federal or foreign tax authorities; impacts from tax law changes; or change in judgment as to the realizability of deferred tax assets. The Company identifies items which are
normal and are non-recurring in nature and treats these as discrete events. The tax effect of discrete items is recorded in the quarter in which the discrete events occur. Due to the volatility of these factors, the Company's consolidated effective income tax rate can change significantly on a quarterly basis.
The Company conducts business globally and, as a result, the Company or
or more of its subsidiaries files income tax returns in the U.S., various state, and foreign jurisdictions. In the normal course of business, the Company is subject to
periodic examination in such domestic and foreign jurisdictions by tax authorities. The Company and certain subsidiaries are currently under audit in the U.S. from
While the amount of uncertain tax benefits with respect to the entities and years under audit
change within the next
months, it is
anticipated that any of the changes will be significant. It is reasonably possible that some of these audits
be completed during the next
months. It is reasonable to expect that various issues relating to uncertain tax benefits will be resolved within the next
months as exams are completed or as statutes expire and will impact the effective tax rate.
The Company
’s consolidated effective tax rate was
for the
months ended
September 30, 2017
for the
months ended
September 30, 2016.
The current period’s effective tax rate primarily includes tax expense on the taxable year’s net income, and tax and interest expense on uncertain tax positions partially offset by tax benefit on the vesting of restricted stock units. The prior period’s effective tax rate primarily includes tax expense on the taxable year’s net income, and tax and interest expense on uncertain tax positions. Effective
July 1, 2017
the company adopted ASU
Balance Sheet Classification of Deferred Taxes
, which requires the Company to present all deferred tax assets and liabilities as noncurrent. The Company has applied the new guidance prospectively and accordingly the prior balance sheets were
retrospectively adjusted. The adoption did
have a material impact on the Company’s consolidated results of operations, cash flows or financial position.