Quarterly report pursuant to Section 13 or 15(d)

INCOME TAXES

v3.5.0.2
INCOME TAXES
6 Months Ended
Jun. 30, 2016
Income Tax Disclosure [Abstract]  
INCOME TAXES
INCOME TAXES
Our effective tax rate increased to 35.0% in the second quarter of 2016 from 34.5% in the same period of 2015 (35.1% year-to-date in 2016 compared to 34.9% in the same period of 2015), primarily due to a decrease in U.S. Federal and state tax credits relative to total pre-tax income. This was offset by favorable changes in the proportion of our taxable income in certain U.S. and non-U.S. jurisdictions
As discussed in our Annual Report on Form 10-K for the year ended December 31, 2015, we have recognized liabilities for uncertain tax positions. We reevaluate these uncertain tax positions on a quarterly basis. A number of years may elapse before an uncertain tax position is audited and ultimately settled. It is difficult to predict the ultimate outcome or the timing of resolution for uncertain tax positions. It is reasonably possible that the amount of unrecognized tax benefits could significantly increase or decrease within the next twelve months. However, an estimate of the range of reasonably possible outcomes cannot be made. Items that may cause changes to unrecognized tax benefits include various state filing positions, the allocation of income and expense between tax jurisdictions and other transfer pricing matters. These changes could result from the settlement of ongoing litigation, the completion of ongoing examinations, the expiration of the statute of limitations or other unforeseen circumstances.