Quarterly report pursuant to Section 13 or 15(d)

Income Taxes

v3.23.1
Income Taxes
 6 Months Ended
Mar. 31, 2023
Income Taxes  
Income Taxes

11. Income Tax

 

The following table presents the provision for income taxes and our effective tax rate for the three and six-month periods ended March 31, 2023 and 2022:

 

 

 

Three Months Ended,

March 31,

 

 

Six Months Ended,

March 31,

 

 

 

2023

 

 

2022

 

 

2023

 

 

2022

 

Provision (benefit) for income taxes

 

 $ 58

 

 

 $ (8 )

 

 $ 131

 

 

 $ (37 )

Effective tax rate

 

 

 8%

 

 

 0%

 

 

 9%

 

 

 0%

 

The effective income tax rate on operations is based upon the estimated income for the year and adjustments, if any, in the applicable quarterly periods for the potential tax consequences, benefits, resolutions of tax audits or other tax contingencies.

 

Our effective tax rate for the three and six-month periods ended March 31, 2023 and 2022, is lower than the statutory tax rate primarily due to the effect of the valuation allowance on the net deferred tax asset (“DTA”) position. Other than the deferred tax liability relating to indefinite lived assets, the Company is maintaining a valuation allowance against the remaining net DTA position.