|3 Months Ended
Sep. 30, 2013
|Income Tax Disclosure [Abstract]
The following table provides details of income taxes:
The Company’s estimated annual effective tax rate for the fiscal year ending June 30, 2014 is approximately 22.9%.
The difference between the actual effective tax rate of 20.5% during the quarter and the estimated annual effective tax rate of 22.9% is primarily due to a decrease in tax expense of $2.0 million related to deductions for employee stock activity and a decrease in tax expense of $2.7 million related to a non-taxable increase in the assets held within the Company's Executive Deferred Savings Plan.
Tax expense was lower as a percentage of income during the three months ended September 30, 2013 compared to the three months ended September 30, 2012 primarily due to the impact of the following items:
In the normal course of business, the Company is subject to examination by tax authorities throughout the world. The Company is subject to U.S. federal income tax examination for all years beginning from the fiscal year ended June 30, 2010. The Company is subject to state income tax examinations for all years beginning from the fiscal year ended June 30, 2009. The Company is also subject to examinations in other major foreign jurisdictions, including Singapore, for all years beginning from the fiscal year ended June 30, 2009. It is possible that certain examinations may be concluded in the next twelve months. The Company believes it is possible that it may recognize up to $7.2 million of its existing unrecognized tax benefits within the next twelve months as a result of the lapse of statutes of limitations and the resolution of examinations with various tax authorities.