Zynga 2015 Annual Report Download - page 100

Table of Contents
The following table reflects changes in the gross unrecognized tax benefits (in thousands):
December 31, 2012 $ 98,721
Additions based on tax positions related to 2013 16,414
Additions for tax positions of prior years 18,356
December 31, 2013 $ 133,491
Additions based on tax positions related to 2014 7,738
Additions for tax positions of prior years 171
Reductions for tax positions of prior years (511)
December 31, 2014 $ 140,889
Additions based on tax positions related to 2015 8,876
Additions for tax positions of prior years 82
Reductions for tax positions of prior years (2,817)
Decreases related to settlements of prior year tax positions (4,185)
December 31, 2015 $ (142,845)
During all years presented, we recognized interest and penalties related to unrecognized tax benefits within the provision for income taxes on the
consolidated statements of operations. The amount of interest and penalties accrued as of December 31, 2015 and 2014 was $0.6 million and $0.7 million,
respectively.
If the balance of gross unrecognized tax benefits of $142.8 million as of December 31, 2015 was realized in a future period, this would result in a tax benefit
of $8.5 million within our provision of income taxes at such time.
We classify uncertain tax positions as non-current income tax liabilities unless expected to be paid within one year or otherwise directly related to an existing
deferred tax asset, in which case the uncertain tax position is recorded net of the asset on the balance sheet. At December 31, 2015, $91.8 million of our gross
unrecognized tax benefits were recorded as a reduction of the related deferred tax assets and the remaining $51.0 million of our gross unrecognized tax benefits
were recorded as long-term liabilities in our consolidated balance sheets.
We file income tax returns in the U.S. federal jurisdiction as well as many U.S. states and certain foreign jurisdictions. The material jurisdictions in which we
are subject to potential examination include the United States, United Kingdom, and Ireland. We are subject to examination in these jurisdictions for all years since
our inception in 2007. Fiscal years outside the normal statute of limitation remain open to audit by tax authorities due to tax attributes generated in those early years
which have been carried forward and may be audited in subsequent years when utilized. We do not expect any material changes to our unrecognized tax benefits
within the next twelve months.
8. Other Current Liabilities
Other current liabilities consist of the following (in thousands):
December 31,
2015
December 31,
2014
Accrued accounts payable $ 31,700 $ 17,542
Accrued compensation liability 16,278 26,113
Accrued restructuring liability 9,859 7,214
Other current liabilities 19,854 20,955
Accrued escrow for acquisitions — 47,906
Contingent consideration liability — 44,420
Total other current liabilities $ 77,691 $ 164,150
97