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Income Taxes | 12 Months Ended
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Dec. 31, 2015
Income Tax Disclosure [Abstract] |
Income Taxes | INCOME TAXES At December 31, income tax expense consisted of the following:
(Dollars in thousands) | 2015 |  | 2014 |  | 2013
Current tax expense |  |  |  |  |
Federal | $ | 105,367 |  |  | $ | 84,430 |  |  | $ | 46,848 |
State | 16,111 |  |  | 13,941 |  |  | 7,080 |
Total current tax expense | 121,478 |  |  | 98,371 |  |  | 53,928 |
Deferred tax (benefit) expense |  |  |  |  |
Federal | (2,758 | ) |  | (30,658 | ) |  | 38,731 |
State | 3,308 |  |  | (2,681 | ) |  | 8,915 |
Total deferred tax (benefit) expense | 550 |  |  | (33,339 | ) |  | 47,646 |
Total income tax expense | $ | 122,028 |  |  | $ | 65,032 |  |  | $ | 101,574 |
Income tax expense differed from the amounts computed by applying the federal income tax rate of 35 percent to pretax income as a result of the following:
(Dollars in thousands) | 2015 |  | 2014 |  | 2013
Income taxes at statutory rates | $ | 116,345 |  |  | $ | 71,258 |  |  | $ | 93,956 |
Increase (reduction) in income taxes resulting from: |  |  |  |  |
Nontaxable income on loans, leases and investments, net of nondeductible expenses | (3,020 | ) |  | (1,832 | ) |  | (1,185 | )
State and local income taxes, including change in valuation allowance, net of federal income tax benefit | 12,622 |  |  | 7,319 |  |  | 10,397 |
Acquisition stock settlement | — |  |  | (10,185 | ) |  | — |
Tax credits net of amortization | (3,060 | ) |  | (2,896 | ) |  | (960 | )
Other, net | (859 | ) |  | 1,368 |  |  | (634 | )
Total income tax expense | $ | 122,028 |  |  | $ | 65,032 |  |  | $ | 101,574 |
The net deferred tax asset included the following components at December 31:
(Dollars in thousands) | 2015 |  | 2014
Allowance for loan and lease losses | $ | 78,878 |  |  | $ | 79,537 |
Pension liability | 7,206 |  |  | 17,147 |
Executive separation from service agreements | 9,856 |  |  | 13,753 |
State operating loss carryforward | 21 |  |  | 29 |
Unrealized loss on cash flow hedge | 537 |  |  | 1,673 |
Net unrealized loss on securities included in accumulated other comprehensive loss | 9,379 |  |  | — |
Accelerated depreciation | 13,195 |  |  | 3,495 |
FDIC assisted transactions timing differences | 66,456 |  |  | 77,388 |
Other reserves | 10,772 |  |  | 12,770 |
Other | 29,279 |  |  | 26,788 |
Deferred tax asset | 225,579 |  |  | 232,580 |
Lease financing activities | 15,492 |  |  | 12,706 |
Net unrealized gain on securities included in accumulated other comprehensive loss | — |  |  | 3,245 |
Net deferred loan fees and costs | 6,051 |  |  | 4,532 |
Intangible assets | 2,040 |  |  | 7,789 |
Security, loan and debt valuations | 31,486 |  |  | 40,910 |
Other | 12,026 |  |  | 13,287 |
Deferred tax liability | 67,095 |  |  | 82,469 |
Net deferred tax asset | $ | 158,484 |  |  | $ | 150,111 |
On October 1, 2014, Bancorporation merged with and into BancShares in a statutory merger treated as a "reorganization" within the meaning of section 368(a) of the Internal Revenue Code of 1986 as amended. Income tax expense in 2014 has been adjusted for the settlement of the ownership of Bancorporation stock at the date of the merger. Income tax expense has also been adjusted for the revaluation of the acquired deferred inventory to reflect the rates that will apply under currently enacted tax law when the temporary differences are expected to reverse. No valuation allowance was necessary at December 31, 2015 or 2014 to reduce BancShares’ gross state deferred tax asset to the amount that is more likely than not to be realized. Under GAAP, the benefit of a position taken or expected to be taken in a tax return should be recognized when it is more likely than not that the position will be sustained based on its technical merit. The liability for unrecognized tax benefits was not material at December 31, 2015 and 2014, and changes in the liability were not significant during 2015, 2014 and 2013. BancShares does not expect the liability for unrecognized tax benefits to change significantly during 2016. BancShares recognizes interest and penalties, if any, related to income tax matters in income tax expense, and the amounts recognized during 2015, 2014 and 2013 were not material. During the third quarter of 2015, BancShares adjusted its net deferred tax asset as a result of reductions in the North Carolina corporate income tax rate that will become effective January 1, 2016. The lower corporate income tax rate resulted in a reduction in the deferred tax asset and an increase in income tax expense in 2015. BancShares, its subsidiaries', and Bancorporation's federal income tax returns for 2012 through 2014 remain open for examination. Generally, the state jurisdictions in which BancShares files income tax returns are subject to examination for a period up to four years after returns are filed. BancShares state tax returns are currently under examination in California for 2011 and 2012 and in Florida for 2011 through 2013.

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- Definition The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(h)) -URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32559-109319 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32718-109319 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32639-109319 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32537-109319 + Details
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