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Income Taxes
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6 Months Ended |
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Sep. 30, 2012
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| Income Taxes [Abstract] | |
| Income Taxes |
Note 9. Income Taxes The Company uses an estimated annual effective tax rate based on expected annual income to determine the quarterly provision for income taxes before discrete items. The impact of additional discrete items is recorded in the quarter in which they occur. In assessing the realizability of the deferred tax assets, the Company considered whether it is more likely than not that some portion or all of the deferred tax assets will not be realized through the generation of future taxable income. The Company will continue to reassess realizability of the deferred tax assets going forward. In the three and six months ended September 30, 2012, the Company recorded a net tax benefit of $1.1 million and $2.0 million, respectively, which resulted from an estimated annual effective tax rate of 37.2% for the fiscal year plus the effects of discrete items. For the six months ended September 30, 2012, there was $181,000 of discrete tax expense resulting primarily from the impact of an estimated change in state apportionment factors and tax shortfalls related to settlements of share-based compensation. In the three and six months ended September 30, 2011, the Company recorded a tax benefit of $1.9 million and expense of $11.4 million, respectively, related to net income from continuing operations which resulted from an estimated annual effective tax rate of 41.9% for the fiscal year plus separate discrete items. For the three and six months ended September 30, 2011, the Company recorded a discrete tax benefit of $2.1 million for a reduction in an uncertain tax position that effectively settled during the period. For the six months ended September 30, 2011, the gain on the CNS asset sale was treated as a discrete item and the provision related specifically to that item was $12.5 million. |