North Face 2015 Annual Report Download - page 114

Download and view the complete annual report

Please find page 114 of the 2015 North Face annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 130

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130

VF CORPORATION
Notes to Consolidated Financial Statements
December 2015
A reconciliation of the change in the accrual for unrecognized income tax benefits is as follows:
Unrecognized
Income Tax
Benefits
Accrued
Interest
and Penalties
Unrecognized
Income Tax
Benefits
Including Interest
and Penalties
In thousands
Balance, December 2012 ........................ $135,294 $16,821 $152,115
Additions for current year tax positions ............. 11,921 — 11,921
Additions for prior year tax positions .............. 10,908 4,627 15,535
Reductions for prior year tax positions ............. (8,521) (2,130) (10,651)
Reductions due to statute expirations .............. (6,527) (626) (7,153)
Payments in settlement ......................... (24,422) (1,218) (25,640)
Currency translation ............................ (139) — (139)
Balance, December 2013 ........................ 118,514 17,474 135,988
Additions for current year tax positions ............. 12,850 — 12,850
Additions for prior year tax positions .............. 5,252 5,033 10,285
Reductions for prior year tax positions ............. (12,898) (2,780) (15,678)
Reductions due to statute expirations .............. (9,159) (647) (9,806)
Payments in settlement ......................... (657) (1,742) (2,399)
Currency translation ............................ (298) (119) (417)
Balance, December 2014 ........................ 113,604 17,219 130,823
Additions for current year tax positions ............. 13,470 — 13,470
Additions for prior year tax positions .............. 4,396 3,188 7,584
Reductions for prior year tax positions ............. (32,432) (6,350) (38,782)
Reductions due to statute expirations .............. (11,780) (2,528) (14,308)
Payments in settlement ......................... (11,437) (2,065) (13,502)
Currency translation ............................ (144) (95) (239)
Balance, December 2015 ........................ $ 75,677 $ 9,369 $ 85,046
2015 2014
In thousands
Amounts included in the Consolidated Balance Sheets:
Unrecognized income tax benefits, including interest and penalties ....... $85,046 $130,823
Less deferred tax benefits ........................................ 11,973 23,290
Total unrecognized tax benefits ................................... $73,073 $107,533
The unrecognized tax benefits of $73.1 million at the end of 2015, if recognized, would reduce the annual
effective tax rate.
VF files a consolidated U.S. federal income tax return, as well as separate and combined income tax returns
in numerous state and foreign jurisdictions. In the U.S., the Internal Revenue Service (“IRS”) examinations for
F-38