World Fuel Services 2015 Annual Report Download - page 83

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78
income tax rate by 20.7%. As of December 31, 2015, it does not appear that the total amount of our unrecognized income
tax benefits will significantly increase or decrease within the next twelve months.
We record accrued interest and penalties related to unrecognized income tax benefits as income tax expense. Related to
the uncertain income tax benefits noted above, for interest we recorded expense of $0.9 million during 2015 and income of
$0.6 million and $0.6 million during 2014 and 2013, respectively. For penalties, we recorded income of $0.3 million,
$0.3 million and $0.3 million during 2015, 2014 and 2013, respectively. As of December 31, 2015 and 2014, we had
recognized liabilities of $5.2 million and $4.2 million for interest and $4.2 million and $4.5 million for penalties, respectively.
In many cases, our uncertain tax positions are related to tax years that remain subject to examination by the relevant taxing
authorities. The following table summarizes these open tax years by jurisdiction with major uncertain tax positions:
Open Tax Year
Examination Examination not
Jurisdiction in progress yet initiated
United States 2011, 2012 2013 - 2015
Singapore None 2011 - 2015
United Kingdom None 2012 - 2015
Brazil 2009 2010 - 2015
Chile None 2013 - 2015
Denmark None 2013 - 2015
10. Fair Value Measurements
The carrying amounts of cash and cash equivalents, accounts receivable, net, accounts payable and accrued expenses
and other current liabilities approximate fair value based on the short-term maturities of these instruments. Fair value for
our debt and notes receivable is derived using a discounted cash flow valuation methodology. The carrying values of these
instruments approximate fair value since these instruments bear interest either at variable rates or fixed rates which are not
significantly different than market rates. Based on the fair value hierarchy, our debt of $746.6 million and $689.9 million as
of December 31, 2015 and December 31, 2014, respectively, and our notes receivable of $7.4 million and $7.0 million as of
December 31, 2015 and December 31, 2014, respectively are categorized in Level 3.