Gladstone Land Corporation Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Summary of Significant Accounting Policies (Tables)

Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2015

Reconciliation between U.S. Statutory Federal Income Tax Rate and Effective Income Tax Rate

A reconciliation between the U.S. statutory federal income tax rate and our effective income tax rate for the years ended December 31, 2015, 2014 and 2013 is provided in the following table:


	2015			2014			2013
U.S. statutory federal income tax rate		0.0	%		0.0	%		0.0	%
State taxes, net of U.S. federal income tax benefit⁽¹⁾		0.0	%		26.9	%		41.7	%
Other adjustments⁽²⁾		0.0	%		0.0	%		473.4	%

Effective tax rate		0.0	%		26.9	%		515.1	%

⁽¹⁾	State tax adjustments made to the 2013 and 2014 income tax provision related to taxes owed to the state of California as a result of prior-year land transfers.

⁽²⁾

Adjustments made to the 2013 income tax provision related primarily to the recognition of $2.1 million of income taxes on a deferred intercompany gain relating to land transfers from prior years. This tax became due upon our election to be taxed as a REIT for the tax year ended December 31, 2013. This was partially offset by the reversal of our deferred tax liability, which resulted in a net benefit of REIT conversion of $743,676.