Cablevision 2013 Annual Report Download - page 161

COMBINED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)
(Dollars in thousands, except per share amounts)
F-52
The income tax expense attributable to Cablevision's continuing operations differs from the amount
derived by applying the statutory federal rate to pretax income principally due to the effect of the
following items:
Years Ended December 31,
2013 2012 2011
Federal tax expense at statutory rate ........................................ $ 67,536 $44,212 $179,158
State income taxes, net of federal benefit ................................ 3,607 4,763 31,152
Changes in the valuation allowance ........................................ 5,631 5,480 1,822
Changes in the state apportionment rates used to measure
deferred taxes, net of federal benefit .................................... (11,228) 2,273 2,233
Tax expense (benefit) relating to uncertain tax positions,
including accrued interest, net of deferred tax benefits ......... (124) (2,659) 1,699
Impact of non-deductible officers' compensation ..................... 796 470 77
Other non-deductible expenses ............................................... 3,628 3,363 3,618
Increase in the deferred tax asset for certain state tax loss
carry forwards pursuant to LLC conversions of certain
subsidiaries ......................................................................... - (3,935) -
Research credit ....................................................................... (3,739) - (1,800)
Tax expense (benefit) from exclusion of pretax loss
(income) of an entity that is not consolidated for income
tax purposes ........................................................................ - (2,605) 2,509
Other, net ............................................................................... (472) 632 84
Income tax expense ................................................................ $ 65,635 $51,994 $220,552
For Cablevision, the tax effects of temporary differences which give rise to significant portions of
deferred tax assets or liabilities and the corresponding valuation allowance at December 31, 2013 and
2012 are as follows:
December 31,
2013
2012
Deferred Tax Asset (Liability)
Current
NOLs and tax credit carry forwards .................................................................
$ 224,968
$ 170,407
Compensation and benefit plans ......................................................................
44,629
37,556
Allowance for doubtful accounts .....................................................................
5,502
4,807
Other liabilities ...............................................................................................
13,389
11,958
Deferred tax asset ........................................................................................
288,488
224,728
Valuation allowance........................................................................................
(6,988)
(4,194)
Net deferred tax asset, current ......................................................................
281,500
220,534
Investments.....................................................................................................
(97,565)
(63,950)
Prepaid expenses .............................................................................................
(24,111)
(17,061)
Deferred tax liability, current .......................................................................
(121,676)
(81,011)
Net deferred tax asset, current .........................................................................
159,824
139,523