LH · 10-Q · 2026Q3 · Full report

Income Tax Rate Changes

LABCORP HOLDINGS INC. · 2026-10-30 · Importance 30 · Surprise 40

The effective tax rate fell to 19.8% in the third quarter of 2026 from 22.4% in the third quarter of 2025, while income tax provision declined to $64.9 million from $75.5 million. The company attributed the quarterly rate decrease primarily to release of uncertain tax positions related to U.S. research and development tax credits. For the first nine months, the effective tax rate declined to 18.8% from 22.3%, and tax provision was $193.9 million versus $204.1 million. The nine-month rate reduction primarily reflected discrete benefits from tax restructuring of certain foreign entities.

Key facts

• Labcorp’s effective tax rate for the three months ended September 30, 2026, decreased to 19.8% from 22.4%, primarily due to the release of uncertain tax positions related to U.S. research and development tax credits. source
• Labcorp’s effective tax rate for the nine months ended September 30, 2026, decreased to 18.8% from 22.3%, primarily due to discrete benefits from tax restructuring of certain foreign entities. source