Quarterly report pursuant to Section 13 or 15(d)

Income taxes Income taxes

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Income taxes Income taxes
9 Months Ended
Sep. 30, 2015
Income Tax Disclosure [Abstract]  
Income taxes
Income taxes:

In June 2015, the Company made the decision to release the valuation allowance amounting to $7.7 million against its deferred tax assets net of deferred tax liabilities. Recent profitable quarters and projected future pretax income are sources of positive evidence that led the Company to conclude that it is more likely than not that it will realize its net deferred tax assets.
The Company recognized an income tax expense of $922,427 for the three months ended September 30, 2015, compared to income tax expense of $462,898 for the three months ended September 30, 2014. The Company’s effective tax rate was (123.69)% for the three months ended September 30, 2015 compared to 35.26% for the three months ended September 30, 2014.
The Company recognized income tax benefit of $5.6 million for the nine months ended September 30, 2015, compared to income tax expense of $813,580 for the nine months ended September 30, 2014. The Company’s effective tax rate, exclusive of the discrete tax benefit, was approximately (129.31)% for the nine months ended September 30, 2015, compared to 59.9% for the nine months ended September 30, 2014. The net decrease in the effective tax rate, exclusive of the discrete tax benefit, for the nine months ended September 30, 2015, compared to the same periods in 2014, was primarily due to the release of the valuation allowance on deferred tax assets amounting to $2.2 million that impacted the normalized rate during these periods.