The income tax benefit (expense) consists of the following components for the years ended December 31, (as adjusted) (dollars  in thousands): The total income tax benefit (expense) differs from the amount computed by applying the statutory federal tax rate to net  earnings before taxes as follows for the years ended December 31 (dollars in thousands): In June 2006, the FASB issued additional guidance, which clarifies the accounting for uncertainty in income taxes recognized  in a company’s financial statements included in  Income Taxes . The interpretation prescribes a recognition threshold and  measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken  in a tax return. The interpretation also provides guidance on derecognition, classification, interest and penalties, accounting in  interim periods, disclosure and transition. NNN, in accordance with FASB guidance included in  Income Taxes , has analyzed its various federal and state filing positions.  NNN believes that its income tax filing positions and deductions are well documented and supported. Additionally, NNN  believes that its accruals for tax liabilities are adequate. Therefore, no reserves for uncertain income tax positions have been  recorded pursuant to the FASB guidance. In addition, NNN did not record a cumulative effect adjustment related to the  adoption of the FASB guidance. NNN has had no increases or decreases in unrecognized tax benefits for current or prior years since the date of adoption.  Further, no interest or penalties have been included since no reserves were recorded and no significant increases or decreases  are expected to occur within the next 12 months. When applicable, such interest and penalties will be recorded in non-operating  expenses. The periods that remain open under federal statute are 2009 through 2012. NNN also files in many states with  varying open years under statute.  69 2013 2012 2011 Federal expense at statutory tax rate $ (54,818) $ (45,942) $ (31,723) Nontaxable income of NNN 53,178 44,746 30,380 State taxes, net of federal benefit (200) (139) (156) Amortization of Built-in Gain Tax 761 613 531 Other (6) (58) (9) Valuation allowance (increase) decrease — 7,671 — Total tax benefit (expense) $ (1,085) $ 6,891 $ (977) 2013 2012 2011 Net earnings before income taxes $ 161,230 $ 135,124 $ 93,302 Provision for income tax benefit (expense): Current: Federal (195) (136) (166) State and local (90) (7) (15) Deferred: Federal (790) 5,871 (714) State and local (10) 1,163 (82) Total benefit (expense) for income taxes (1,085) 6,891 (977) Net earnings attributable to NNN’s stockholders $ 160,145 $ 142,015 $ 92,325