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Income Taxes
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6 Months Ended |
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Jun. 30, 2014
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| Income Taxes | |
| Income Taxes |
12.Income Taxes
Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. The largest item affecting deferred taxes is the difference between book and tax amortization of goodwill and other intangibles amortization. The Company’s effective tax rate was 34.9% and 36.2% for the three months ended June 30, 2014 and 2013, respectively. The effective tax rate for the three months ended June 30, 2014 is lower than the corresponding period in 2013 due to the Company recognizing a greater domestic productions activities deduction benefit in 2014. The Company’s effective tax rate for the six months ended June 30, 2014 and 2013 was 34.7% and 32.6%, respectively. The effective tax rate for the six months ended June 30, 2014 was higher than the corresponding period in 2013 due to the 2012 federal research and development credit being retroactively applied in 2013 in addition to the 2013 research and development credit, while the federal research and development credit is not being applied to 2014 as legislation approving such credit has not been approved.
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