Annual and transition report of foreign private issuers pursuant to Section 13 or 15(d)

Income Taxes (Tables)

v2.4.1.9
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2014
Income Taxes [Abstract]  
Schedule of Deferred Tax Assets (Liabilities)

The components of the Company's deferred tax assets (liabilities) at December 31, 2014 and 2013 were as follows:

 

  December 31,   December 31,
  2014   2013  
  (U.S. $ in thousands)
Current deferred tax assets:      
Inventory related     $ 11,878     $ 9,309  
Tax losses carry forward     263     3,773  
Deferred revenue     2,272     612  
Allowance for doubtful accounts     430     462  
Research and development credit carryforward     2,009     475  
Reserve for warranty expenses     373     67  
Provision for employee related obligations     6,505     1,219  
Issuance costs     541     431  
Foreign currency losses     1,260     -  
Other     166     153  
Current deferred tax assets     $ 25,697     $ 16,501  
Long-term deferred tax assets:          
Tax losses carry forward and other     279     407  
Foreign currency losses     -     358  
Stock-based compensation expense     -     586  
Long-term deferred tax assets     $ 279     $ 1,351  
Current deferred tax liabilities          
Issuance costs     -     (112 )  
Current deferred tax liabilities     $ -     $ (112 )  
Long-term deferred tax assets:          
Stock-based compensation expense     $ 5,673     $ 903  
Tax losses carry forward     35,362     8,311  
Depreciation     3,907     579  
Research and developmen credit carryforward     -     1,904  
Issuance costs     -     478  
Foreign tax credit     -     893  
Provision for employee related obligations     3,011     -  
Other Carryforwards     1,266     -  
Other     128     367  
Long-term deferred tax assets     49,347     13,435  
Long-term deferred tax liabilities:          
Intangibles     (103,541 )     (115,248 )  
Issuance costs     -     (430 )  
Depreciation     (1,556 )     (3,658 )  
Valuation allowance     (85 )     -  
Long-term deferred tax liabilities     $ (105,182 )     $ (119,336 )  
Total long-term deferred tax liabilities, net     $ (55,835 )     $ (105,901 )  
Schedule of Income (loss) before Income Taxes

 Income (loss) before income taxes for the years ended December 31, 2014, 2013 and 2012 was as follows:

 

  2014   2013     2012  
  (U.S. $ in thousands)
Domestic (1)   $ 25,903   $ (13,391 )     $ 23,274  
Foreign   (180,621 )   (15,990 )     (4,764 )  
  $ (154,718 )     $ (29,381 )     $ 18,510  
Schedule of Components of Income Tax Expense (Benefit)

The components of income tax (benefit) for the years ended December 31, 2014, 2013 and 2012 were as follows:

 

  2014   2013     2012  
(U.S. $ in thousands)
Current            
Domestic (2)   $ 10,650   $ 14,714     $ 12,319  
Foreign   7,989     1,914     1,445  
  18,639     16,628     13,764  
Deferred            
Domestic (2)   (5,177 )     (9,428 )     (3,113 )  
Foreign   (48,710 )     (9,674 )     (964 )  
  (53,887 )     (19,102 )     (4,077 )  
Total income taxes   $ (35,248 )     $ (2,474 )     $ 9,687  
Schedule of Reconciliation of Income Tax Rate

A reconciliation of the statutory federal income tax rate and the effective tax rate for the years ended December 31, 2014, 2013, and 2012 is set forth below:

2014     2013     2012    
Statutory rate (3) 26.5 %   25.0 %   35.0 %  
Approved and Privileged enterprise benefits 3.7     6.0     -  
State income taxes, net of                
       federal benefit -     -     2.5  
Goodwill impairment (17.3 ) - -
MakerBot earn-out revaluation 3.1 - -
Stock compensation expense (3.7 )   (17.3 )   3.4  
Manufacturing deduction -     -     (5.9 )
Tax contingencies 1.6     (12.1 )   (3.5 )
Non-deductible acquisition expenses (0.1 )   (4.8 )   12.9  
Earning taxed under foreign law 9.6     13.2     3.4  
Other (0.7 )   (1.6 )   4.5    
Effective income tax rate 22.8 %   8.4 %   52.3 %  
Schedule of Unrecognized Tax Benefits
A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:


December 31,  December 31,   December 31,
          2014 2013     2012
 (U.S. $ in thousands)
Balance at beginning of year $ 10,346   $ 4,041     $ 1,598
Additions for tax positions related to the current year 2,705   3,997     455
Additions for tax positions related to previous years 734   2,562     14
Reduction of reserve for statute expirations (5,233 )   (254 )     (1,156 )
Addition from the Stratasys-Objet merger -
 - 3,130
Balance at end of year $ 8,552   $ 10,346     $ 4,041