Summary of Provision for Income Taxes |
A summary of the provision for income taxes was as follows:
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Year Ended December 31, |
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2023 |
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|
2022 |
|
|
2021 |
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|
(in thousands) |
|
Current expense: |
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|
|
|
|
|
|
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Federal |
|
$ |
26,336 |
|
|
$ |
1,310 |
|
|
$ |
21,805 |
|
State |
|
|
13,610 |
|
|
|
304 |
|
|
|
10,901 |
|
Total current expense |
|
|
39,946 |
|
|
|
1,614 |
|
|
|
32,706 |
|
Deferred expense (benefit): |
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|
|
|
|
|
|
|
|
Federal |
|
$ |
(4,980 |
) |
|
|
27,674 |
|
|
|
4,914 |
|
State |
|
|
(426 |
) |
|
|
10,045 |
|
|
|
(803 |
) |
Total deferred expense |
|
|
(5,406 |
) |
|
|
37,719 |
|
|
|
4,111 |
|
Income tax expense |
|
$ |
34,540 |
|
|
$ |
39,333 |
|
|
$ |
36,817 |
|
|
Summary of Deferred Tax Assets and Liabilities |
Deferred tax assets and liabilities were as follows:
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Year Ended December 31, |
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2023 |
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|
2022 |
|
|
2021 |
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(in thousands) |
|
Deferred tax assets: |
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|
|
|
|
|
|
|
|
Provision for credit losses |
|
$ |
20,745 |
|
|
$ |
21,626 |
|
|
$ |
21,671 |
|
Purchase accounting |
|
|
1,467 |
|
|
|
2,149 |
|
|
|
3,360 |
|
Net operating loss carryforward |
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|
13,712 |
|
|
|
14,590 |
|
|
|
15,316 |
|
Unrealized loss on securities available for sale |
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|
29,120 |
|
|
|
35,973 |
|
|
|
3,421 |
|
Lease liability |
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|
13,729 |
|
|
|
13,029 |
|
|
|
14,712 |
|
Tax credits |
|
|
— |
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|
|
1,711 |
|
|
|
— |
|
State taxes |
|
|
2,741 |
|
|
|
54 |
|
|
|
2,318 |
|
Other |
|
|
4,283 |
|
|
|
3,793 |
|
|
|
4,032 |
|
Total deferred tax assets |
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|
85,797 |
|
|
|
92,925 |
|
|
|
64,830 |
|
Deferred tax liabilities: |
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|
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|
|
|
|
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Mark to market |
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|
(32,992 |
) |
|
|
(38,916 |
) |
|
|
(3,531 |
) |
Depreciation |
|
|
(333 |
) |
|
|
(1,292 |
) |
|
|
(1,292 |
) |
Leases - right of use assets |
|
|
(12,592 |
) |
|
|
(11,932 |
) |
|
|
(13,738 |
) |
Other |
|
|
(2,790 |
) |
|
|
(2,836 |
) |
|
|
(2,650 |
) |
Total deferred tax liabilities |
|
|
(48,707 |
) |
|
|
(54,976 |
) |
|
|
(21,211 |
) |
Valuation allowance |
|
|
(1,864 |
) |
|
|
(1,276 |
) |
|
|
(1,644 |
) |
Net deferred tax assets |
|
$ |
35,226 |
|
|
$ |
36,673 |
|
|
$ |
41,975 |
|
|