IT · 10-Q · 2026Q2 · Full report

Income Tax Rate Changes

GARTNER INC · 2026-08-04 · Importance 25 · Surprise 32

The second-quarter 2026 income-tax provision increased to $79.1 million from $77.0 million, while the effective tax rate fell to 22.3% from 24.2%. The quarterly rate reduction primarily reflected a favorable change in the forecasted geographic mix of earnings. For the first six months, the provision increased to $149.2 million from $133.1 million and the effective rate increased to 23.1% from 22.8%, mainly because of the unfavorable impact of stock-based compensation, partly offset by reserve releases and favorable geographic mix.

Key facts

• The Company had gross unrecognized tax benefits of $297.7 million on June 30, 2026. source
• The provision for income taxes for the three months ended June 30, 2026 was $79.1 million. source
• The provision for income taxes for the six months ended June 30, 2026 was $149.2 million. source
• The Company had gross unrecognized tax benefits of $301.6 million on December 31, 2025. source
• The Company adopted ASU 2025-05 effective in 2026 and the adoption had no impacts to the Company's results of operations, cash flows, or financial condition. source
• The provision for income taxes for the three months ended June 30, 2025 was $77.0 million. source
• The provision for income taxes for the six months ended June 30, 2025 was $133.1 million. source
• The effective income tax rate for the three months ended June 30, 2026 was 22.3%. source