Company: MTZ
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0000015615-25-000021
Chunk: 2767

Company: MASTEC INC
Filing Date: 2025-02-28
Form: 10-K
Item: Item 8
Chunk 2767
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.0 %State and local income taxes, net of federal benefit1.4 4.3 8.8 Foreign tax rate differential0.2 (1.8)1.3 Non-deductible expenses5.6 (14.6)(1.6)Goodwill and intangible assets0.0 1.8 (0.7)Change in tax rate(0.3)(5.6)12.7 Compensation and benefits1.0 6.2 6.7 Non-controlling interest(3.0)0.7 (0.4)Other3.8 0.7 (7.6)Tax credits(10.0)24.7 (37.9)Stock basis adjustment0.0 4.9 0.0 Valuation allowance for deferred tax assets0.8 0.5 19.0 Effective income tax rate20.5 %42.8 %21.3 %A reconciliation of the beginning and ending amount of uncertain tax positions, excluding interest and penalties, follows in the table below (in millions).For the Years Ended December 31,202420232022Beginning balance$60.9 $39.3 $21.4 Additions based on tax positions related to the current year15.5 16.6 8.0 Additions for tax positions of prior years6.6 9.5 15.9 Lapse of statute of limitations(12.7)(4.5)(6.0)Ending balance$70.3 $60.9 $39.3 The Company classifies interest, penalties and recoveries related to uncertain tax positions as a component of income tax expense in the consolidated statements of operations.  For the years ended December 31, 2024, 2023 and 2022, interest and penalties totaled approximately $0.7 million, $2.6 million and $0.7 million, respectively.  Accrued interest and penalties related to uncertain tax positions were $7.8 million and $5.9 million as of December 31, 2024 and 2023, respectively.  The effect on the Company’s tax rate if it were to recognize its gross unrecognized tax benefits as of December 31, 2024 approximates $78.1 million, including interest and penalties.  While it is possible