Tanger Inc. 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, 2016

Payroll and related costs and interest costs capitalized for the years ended December 31, 2016, 2015 and 2014 were as follows (in thousands):



	2016		2015		2014
Payroll and related costs capitalized	$	2,095	$	2,989	$	1,543
Interest costs capitalized	$	2,259	$	3,448	$	5,095

Schedule of depreciation expense

Depreciation expense related to rental property included in net income for each of the years ended December 31, 2016, 2015 and 2014 was as follows (in thousands):



	2016		2015		2014
Depreciation expense related to rental property	$	96,813	$	85,872	$	80,057

Schedule of Deferred Charges

Deferred lease costs capitalized, including amounts paid to third-party brokers and payroll and related costs of employees directly involved in originating leases for the years ended December 31, 2016, 2015 and 2014 were as follows (in thousands):



	2016		2015		2014
Deferred lease costs capitalized	$	7,013	$	7,803	$	6,199

Of the amounts capitalized during 2016, 2015 and 2014 the following were related to payroll and related costs (in thousands):



	2016		2015		2014
Deferred lease costs capitalized- payroll and related costs	$	6,210	$	6,236	$	5,084

Tax Treatment of Common Dividends Per Share for Federal Tax Purposes

For income tax purposes, distributions paid to the Company's common shareholders consist of ordinary income, capital gains, return of capital or a combination thereof. Dividends per share for the years ended December 31, 2016, 2015 and 2014 were taxable as follows:



Common dividends per share:	2016		2015		2014
Ordinary income	$	1.246	$	1.285	$	0.765
Capital gain	0.014		0.020		—
Return of capital	—		—		0.180
	$	1.260	$	1.305	$	0.945

GAAP Reconciliation of Net Income to Taxable Income

The following reconciles net income available to the Company's shareholders to taxable income available to common shareholders for the years ended December 31, 2016, 2015 and 2014 (in thousands):



	2016			2015			2014
Net income available to the Company's shareholders	$	193,744		$	211,200		$	74,011
Book/tax difference on:
Depreciation and amortization	1,666			12,446			20,575
Sale of assets and interests in unconsolidated entities	(8,688		)	(110,248		)	(9,524		)
Equity in earnings from unconsolidated joint ventures	4,305			6,772			12,910
Share-based payment compensation	4,596			4,751			(37,193		)
Gain on previously held interest in acquired joint venture	(91,467		)	—			—
Other differences	6,294			(2,831		)	1,205
Taxable income available to common shareholders	$	110,450		$	122,090		$	61,984

Schedule of Supplemental Cash Flow Disclosures

Interest paid, net of interest capitalized was as follows for the years ended December 31, 2016, 2015 and 2014 (in thousands):



	2016		2015		2014
Interest paid, net of interest capitalized	$	50,270	$	49,542	$	55,379

Expenditures included in accounts payable and accrued expenses were as follows for the years ended December 31, 2016, 2015 and 2014 (in thousands):



	2016		2015		2014
Costs relating to construction included in accounts payable and accrued expenses	$	22,908	$	28,665	$	23,033