Income Taxes |
9 Months Ended |
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Sep. 29, 2024 | |
| Income Tax Disclosure [Abstract] | |
| Income Taxes | Income Taxes The Company’s effective tax rate increased to 25.8% for the thirteen weeks ended September 29, 2024, compared to 24.0% for the thirteen weeks ended October 1, 2023. The increase in the effective tax rate was primarily due to an increase in non-deductible executive compensation, an unfavorable current year return-to-provision true-up compared to the favorable prior year period true-up, and the increase in pre-tax income outpacing the increase to the benefit from enhanced inventory donations deductions. The income tax effect resulting from excess tax benefits of share-based payment awards was $1.7 million and $1.1 million for the thirteen weeks ended September 29, 2024 and October 1, 2023, respectively. The Company’s effective tax rate increased to 24.5% for the thirty-nine weeks ended September 29, 2024, compared to 24.0% for the thirty-nine weeks ended October 1, 2023. The increase in the effective tax rate was primarily due to an unfavorable current year return-to-provision true-up compared to the favorable prior year period true-up, a prior period refund of interest from amended returns, and the increase in pre-tax income outpacing the increase to the benefit from enhanced inventory donations deductions, partially offset by an increase in excess tax benefits associated with share-based payment awards. The income tax effect resulting from excess tax benefits of share-based payment awards was $6.8 million and $4.2 million for the thirty-nine weeks ended September 29, 2024 and October 1, 2023, respectively. The Company files income tax returns for federal purposes and in many states. The Company’s tax filings remain subject to examination by applicable tax authorities for a certain length of time, generally three years, following the tax year to which those filings relate.
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