Entity information:
7.
INCOME TAXES
 
The provision (benefit) for income taxes consisted of the following:
 
   
(In thousands)
  
   
Fiscal
    
Fiscal
    
Fiscal
  
   
2017
    
2016
    
2015
  
Current
   $
54,422
     $
32,806
     $
24,326
  
Deferred
    
1,358
      
(1,299
 )    
1,076
  
Total
  $
55,780
     $
31,507
     $
25,402
  
 
Deferred taxes are recorded to give recognition to temporary differences between the tax bases of assets or liabilities and their reported amounts in the financial statements. Valuation allowances are established to reduce the carrying amounts of deferred tax assets when it is deemed more likely than
not
that the benefit of deferred tax assets will
not
be realized. Deferred tax assets and liabilities as of
April 29, 2017
and
April 30, 2016
consisted of the following:
 
   
(In thousands)
  
   
2017
    
2016
  
Deferred tax assets:
               
Accrued expenses and other
   $
4,740
     $
5,655
  
Inventory and amortizable assets
    
538
     
538
 
Total deferred tax assets
    
5,278
     
6,193
 
Deferred tax liabilities:
                
Property
   
15,157
     
14,049
 
Intangibles and other
    
2,208
      
2,164
  
Total deferred tax liabilities
    
17,365
      
16,213
  
Net deferred tax liabilities
   $
12,087
     $
10,020
  
Current deferred tax assets – net
   $
3,906
     $
4,454
  
Noncurrent deferred tax liabilities – net
   $
15,993
     $
14,474
  
 
The reconciliation of the statutory federal income tax rate to our effective tax rate is as follows:
 
   
Fiscal
    
Fiscal
    
Fiscal
  
   
2017
    
2016
    
2015
  
Statutory federal income tax rate
    
35.0
 %    
35.0
 %    
35.0
 %
State income taxes, net of federal benefit
    
2.2
      
2.2
      
2.3
  
Domestic manufacturing deduction benefit
    
(3.0
 )    
(3.0
 )    
(3.0
 )
Other differences
    
.1
      
(.2
 )    
(.3
 )
Effective income tax rate
 
 
34.3
 %    
34.0
 %    
34.0
 %
 
As of
April 29, 2017,
the gross amount of unrecognized tax benefits was
$1.7
million and
$66,000
was recognized as a tax benefit in Fiscal
2017.
If we were to prevail on all uncertain tax positions, the net effect would be to reduce our tax expense by approximately
$1.2
million. A reconciliation of the changes in the gross amount of unrecognized tax benefits, which amounts are included in other liabilities in the accompanying consolidated balance sheets, is as follows:
 
   
(In thousands)
  
   
Fiscal
    
Fiscal
    
Fiscal
  
   
2017
    
2016
    
2015
  
Beginning balance
   $
1,678
     $
1,801
     $
2,123
  
Increases due to current period tax positions
    
150
      
145
      
122
  
Decreases due to lapse of statute of limitations and audit resolutions
    
(85
 )    
(268
 )    
(444
 )
Ending balance
   $
1,743
     $
1,678
     $
1,801
  
 
We recognize accrued interest and penalties related to unrecognized tax benefits in income tax expense. As of
April 29, 2017,
unrecognized tax benefits included accrued interest of
$239,000,
of which approximately
$12,000
was recognized as a tax benefit in Fiscal
2017.
 
We file annual income tax returns in the United States and in various state and local jurisdictions. A number of years
may
elapse before an uncertain tax position, for which we have unrecognized tax benefits, is resolved. While it is often difficult to predict the final outcome or the timing of resolution of any particular uncertain tax position, we believe that our unrecognized tax benefits reflect the most probable outcome. We adjust these unrecognized tax benefits, as well as the related interest, in light of changing facts and circumstances. The resolution of any particular uncertain tax position could require the use of cash and an adjustment to our provision for income taxes in the period of resolution. Federal income tax returns for fiscal years subsequent to
2013
are subject to examination. Generally, the income tax returns for the various state jurisdictions are subject to examination for fiscal years ending after fiscal
2010.