Table of Contents AZZ INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Note 7 – Income Taxes  The provision for income taxes consists of (in thousands): In general, it is the Company's practice and intention to reinvest the earnings of its non-U.S. subsidiaries in those operations. Generally, such amounts become subject to foreign withholding tax upon the remittance of dividends and under certain other circumstances. The expense recognized in fiscal year 2018 related to the one-time tax on the mandatory deemed repatriation of foreign earnings was $1.4 million of which the Company has elected to pay the one-time tax evenly over a period of eight years with seven years remaining. We continue to reinvest cash in foreign jurisdictions and have not recorded the effects of any applicable foreign withholding tax. The U.S. Tax Cuts and Jobs Act of 2017 (the “U.S. Tax Act”) requires complex computations to be performed that were not previously required by U.S. tax law, significant judgments to be made in interpretation of the provisions of the U.S. Tax Act, significant estimates in calculations, and the preparation and analysis of information not previously relevant. The U.S. Treasury Department, the IRS, and other standard-setting bodies will continue to interpret or issue guidance on how provisions of the U.S. Tax Act will be applied or otherwise administered. As future guidance is issued, we may make adjustments to amounts that we have previously recorded that may materially impact our financial statements in the period in which the adjustments are made. During the fourth quarter of fiscal 2019, the Company completed its assessment of the Tax Act under SAB 118, resulting in additional benefit of $1.1 million resulting from revised estimates of the mandatory deemed repatriation of foreign earnings, foreign tax credits, and bonus depreciation elections based on the finalization of our 2017 US federal income tax return. The change in bonus depreciation elections and other temporary return to provisions items resulted in $0.8 million benefit related to the finalization of the remeasurement of deferred tax assets and liabilities. The finalization of foreign earnings and profits and foreign tax credits resulted in a $0.3 million benefit. 47 Year Ended February 28, 2019 February 28, 2018 February 28, 2017 Income before income taxes: Domestic $ 48,261 $ 24,282 $ 74,972 Foreign 14,744 6,617 10,325 Income before income taxes $ 63,005 $ 30,899 $ 85,297 Current provision (benefit): Federal $ 4,251 $ 3,445 $ 18,688 Foreign 2,829 1,958 2,751 State and local 986 964 1,290 Total current provision for income taxes $ 8,066 $ 6,367 $ 22,729 Deferred provision (benefit): Federal $ 2,970 $ (20,220 ) $ 2,486 Foreign 539 100 (189) State and local 222 (517 ) (993 ) Total deferred provision for (benefit from) income taxes $ 3,731 $ (20,637) $ 1,304 Total provision for (benefit from) income taxes $ 11,797 $ (14,270 ) $ 24,033