Income Taxes |
9 Months Ended |
|---|---|
Jun. 01, 2024 | |
| Income Tax Disclosure [Abstract] | |
| Income Taxes | Income Taxes During the thirty-nine-week period ended June 1, 2024, there were no material changes in unrecognized tax benefits. During fiscal year 2023, the Company received funds related to Employee Retention Credit (“ERC”) claims previously submitted. As there is no authoritative guidance under accounting principles generally accepted in the United States of America on accounting for government assistance to for-profit business entities, the Company accounts for the ERC by analogy to International Accounting Standard 20, Accounting for Government Grants and Disclosure of Government Assistance. Of the funds received in fiscal year 2023, the Company recorded $6,566 to Other income (expense) in the Consolidated Statement of Income for the fiscal year ended September 2, 2023, as the probability threshold had been met. As of June 1, 2024, the Company determined the probability threshold had not been met for $5,129 of the funds received in fiscal year 2023, and, as such, that portion of the funds remained in Accrued expenses and other current liabilities in the unaudited Condensed Consolidated Balance Sheet as of such date. This amount will be recognized in the unaudited Condensed Consolidated Statement of Income when the probability threshold has been met, which the Company has determined to be the earlier of a completed audit or the lapse of the relevant statute of limitations. The Company’s effective tax rate was 24.2% for the thirty-nine-week period ended June 1, 2024, as compared to 24.9% for the thirty-nine-week period ended June 3, 2023. The decrease in the effective tax rate was primarily due to a higher tax benefit from stock-based compensation. The effective tax rate is higher than the federal statutory tax rate primarily due to state taxes.
|