SNDK » Topics » Provision for Income Taxes.

These excerpts taken from the SNDK 10-K filed Feb 25, 2008.
Provision for Income Taxes.
 
                                         
          Percent
          Percent
       
    FY 2007     Change     FY 2006     Change     FY 2005  
 
Provision for income taxes
  $ 174.8       (24 )%   $ 230.2       1 %   $ 226.9  
Effective tax rates
    43.9 %             53.5 %             37.0 %
 
Our fiscal year 2007 effective tax rate decreased from fiscal year 2006 primarily due to the fiscal year 2006 write-off of acquired in-process technology and higher tax-exempt interest income in fiscal year 2007. This decrease was partially offset by foreign losses not benefited and non-deductible share-based compensation expenses.
 
We adopted FIN 48 at the beginning of fiscal year 2007. As a result of the adoption, we recognized approximately a $1 million increase in the liability for unrecognized tax benefits, which was accounted for as a reduction to retained earnings as of January 1, 2007. See Note 10, “Income Taxes,” to our consolidated financial statements included in Item 8 of this report for further discussion on the impact of FIN 48.
 
Our fiscal year 2006 effective tax rate increased over fiscal year 2005 primarily due to the write-off of acquired in-process technology and non-deductible share-based compensation expenses, which was partially offset by foreign earnings at other than U.S. rates.
 
Provision
for Income Taxes.



 

















































































































                                         

 

 

 

 

 

Percent



 

 

 

 

 

Percent



 

 

 

 

 

 

FY 2007

 

 

Change

 

 

FY 2006

 

 

Change

 

 

FY 2005

 
 


Provision for income taxes


 

$

174.8

 

 

 

(24

)%

 

$

230.2

 

 

 

1

%

 

$

226.9

 


Effective tax rates


 

 

43.9

%

 

 

 

 

 

 

53.5

%

 

 

 

 

 

 

37.0

%






 



Our fiscal year 2007 effective tax rate decreased from fiscal
year 2006 primarily due to the fiscal year 2006 write-off of
acquired in-process technology and higher tax-exempt interest
income in fiscal year 2007. This decrease was partially offset
by foreign losses not benefited and non-deductible share-based
compensation expenses.


 



We adopted FIN 48 at the beginning of fiscal year 2007. As
a result of the adoption, we recognized approximately a
$1 million increase in the liability for unrecognized tax
benefits, which was accounted for as a reduction to retained
earnings as of January 1, 2007. See Note 10,
“Income Taxes,” to our consolidated financial
statements included in Item 8 of this report for further
discussion on the impact of FIN 48.


 



Our fiscal year 2006 effective tax rate increased over fiscal
year 2005 primarily due to the write-off of acquired in-process
technology and non-deductible share-based compensation expenses,
which was partially offset by foreign earnings at other than
U.S. rates.


 




This excerpt taken from the SNDK 10-K filed Mar 15, 2006.
Provision for Income Taxes
 
                         
    FY 2005     FY 2004     FY 2003  
 
Provision for income taxes
    37 %     37 %     30 %
 
Our 2005 and 2004 tax rates differ from the statutory rate primarily due to state tax expense, net of federal benefit. Our 2003 tax rate differs from the statutory rate due to state tax expense, a reversal of the tax benefit we recognized in 2001 and 2002 related to the unrealized gain on the disposition of our UMC shares and to the benefit provided by the reversal of $47 million in valuation allowance carried on the net deferred tax assets at the end of fiscal 2002 which could be taken principally because our net operating loss carryforwards have been fully realized. Our future tax rate may be impacted by state taxes, our ability to realize tax benefits from capital losses and the geographic mix of our earnings.


37


Table of Contents

Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki