Table of Contents AZZ INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Note 7 – Income Taxes 48 A reconciliation from the federal statutory income tax rate to the effective income tax rate is as follows for the prior three fiscal years: 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 six years remaining. We continue to reinvest cash in foreign jurisdictions and have not recorded the effects of any applicable foreign withholding tax. 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 provision for income taxes for fiscal year 2020, 2019 and 2018 consisted of the following (in thousands): 2020 2019 2018 Income before income taxes: Domestic $ 44,406 $ 48,261 $ 24,282 Foreign 20,484 14,744 6,617 Income before income taxes $ 64,890 $ 63,005 $ 30,899 Current provision: Federal $ 12,563 $ 4,251 $ 3,445 Foreign 5,259 2,829 1,958 State and local 1,451 986 964 Total current provision for income taxes $ 19,273 $ 8,066 $ 6,367 Deferred provision (benefit): Federal $ (1,452) $ 2,970 $ (20,220) Foreign (21 ) 539 100 State and local (1,144) 222 (517) Total deferred provision for (benefit from) income taxes $ (2,617 ) $ 3,731 $ (20,637 ) Total provision for (benefit from) income taxes $ 16,656 $ 11,797 $ (14,270) 2020 2019 2018 Statutory federal income tax rate 21.0  % 21.0  % 32.7  % Permanent differences 0.1 0.5 1.6 State income taxes, net of federal income tax benefit — 0.4 0.4 Benefit of Section 199 of the Code, manufacturing deduction — — (2.2) Valuation allowance — (0.7 ) — Stock compensation — 0.5 (0.5) Tax credits 2.0 (4.1 ) (7.7 ) Foreign tax rate differential 1.4 1.1 (0.4) Deferred tax remeasurements — — (78.9 ) Uncertain tax positions 1.4 — — Transition tax — — 8.6 Other (0.2) — 0.2 Effective income tax rate 25.7  % 18.7  % (46.2 )%