XML 33 R20.htm IDEA: XBRL DOCUMENT
v3.8.0.1

Income Taxes | 12 Months Ended
--- | ---
Dec. 31, 2017
Income Tax Disclosure [Abstract] |
Income Taxes | (12) INCOME TAXES The components of the Company’s income tax expense (benefit) are as follows:
|  | Year Ended December 31, |
|  | 2017 |  |  | 2016 |  |  | 2015 |
|  | (Dollars in thousands) |
Current taxes: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  | $ | 39,569 |  |  | $ | 34,003 |  |  | $ | 32,348 |
State |  |  | 5,914 |  |  |  | 5,308 |  |  |  | 4,595 |
Deferred taxes |  |  | 4,383 |  |  |  | (2,048 | ) |  |  | (1,903 | )
Total income taxes |  | $ | 49,866 |  |  | $ | 37,263 |  |  | $ | 35,040 |
Income tax expense (benefit) applicable to securities transactions approximated $1.4 million, $(21,000) and $3.2 million for the years ended December 31, 2017, 2016 and 2015, respectively. A reconciliation of tax expense at the federal statutory tax rate applied to income before taxes is presented in the following table:
|  | Year Ended December 31, |
|  | 2017 |  |  | 2016 |  |  | 2015 |
|  | (Dollars in thousands) |
Tax expense at the federal statutory tax rate |  | $ | 47,708 |  |  | $ | 37,778 |  |  | $ | 35,424 |
Increase (decrease) in tax expense from: |  |  |  |  |  |  |  |  |  |  |  |
Tax-exempt income, net |  |  | (829 | ) |  |  | (756 | ) |  |  | (663 | )
Modified endowment life contracts |  |  | (921 | ) |  |  | (852 | ) |  |  | (763 | )
Share based compensation excess tax benefit |  |  | (2,354 | ) |  |  | — |  |  |  | — |
State tax expense, net of federal tax benefit |  |  | 3,840 |  |  |  | 3,250 |  |  |  | 2,898 |
Write-down of net deferred tax asset |  |  | 4,331 |  |  |  | — |  |  |  | — |
Utilization of tax credits: |  |  |  |  |  |  |  |  |  |  |  |
New markets tax credits |  |  | (1,151 | ) |  |  | (1,254 | ) |  |  | (1,195 | )
Low-income housing tax credits, net of amortization |  |  | (1,589 | ) |  |  | (1,424 | ) |  |  | (1,274 | )
Other tax credits |  |  | — |  |  |  | (319 | ) |  |  | (248 | )
Other, net |  |  | 831 |  |  |  | 840 |  |  |  | 861 |
Total tax expense |  | $ | 49,866 |  |  | $ | 37,263 |  |  | $ | 35,040 |
Income tax expense for 2017 was impacted by the write down of net deferred tax asset of $4.3 million resulting from the federal tax rate change under the Tax Cuts and Jobs Act, enacted December 22, 2017. Deferred taxes as of December 31, 2017 are presented in the table below using the new federal tax rate of 21%. Deferred taxes as of December 31, 2016 are presented using the previous federal tax rate of 35%. The net deferred tax asset consisted of the following and is reported in other assets:
|  | December 31, |
|  | 2017 |  |  | 2016 |
|  | (Dollars in thousands) |
Provision for loan losses |  | $ | 13,123 |  |  | $ | 18,748 |
Unrealized net losses on securities |  |  | 739 |  |  |  | — |
Write-downs of other real estate owned |  |  | 473 |  |  |  | 769 |
Deferred compensation |  |  | 2,113 |  |  |  | 3,197 |
Stock-based compensation |  |  | 1,351 |  |  |  | 2,441 |
Investments in partnership interests |  |  | 3,758 |  |  |  | 4,603 |
Other |  |  | 275 |  |  |  | 666 |
Gross deferred tax assets |  |  | 21,832 |  |  |  | 30,424 |
Unrealized net gains on securities |  |  | — |  |  |  | (59 | )
Premium on securities of banks acquired |  |  | (219 | ) |  |  | (453 | )
Intangibles |  |  | (3,359 | ) |  |  | (5,365 | )
Basis difference related to tax credits |  |  | (2,713 | ) |  |  | (3,435 | )
Depreciation |  |  | (4,563 | ) |  |  | (6,758 | )
Leveraged lease |  |  | (821 | ) |  |  | (1,408 | )
Prepaid expense deducted |  |  | (887 | ) |  |  | — |
Other |  |  | (180 | ) |  |  | (271 | )
Gross deferred tax liabilities |  |  | (12,742 | ) |  |  | (17,749 | )
Net deferred tax asset |  | $ | 9,090 |  |  | $ | 12,675 |
The Company recognizes accrued interest and penalties related to unrecognized tax benefits, if applicable, in income tax expense. During the years ended December 31, 2017, 2016 and 2015, the Company did not recognize or accrue any interest and penalties related to unrecognized tax benefits. Federal and various state income tax statutes dictate that tax returns filed in any of the previous three reporting periods remain open to examination which includes the years 2015 to 2017. The Company has no open examinations with either the Internal Revenue Service or any state agency. Management performs an analysis of the Company’s tax position annually and believes it is more likely than not that all of its tax positions will be utilized in future years.

X
- References No definition available. + Details
Name: | us-gaap_IncomeTaxDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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 740 -URI http://asc.fasb.org/topic&trid=2144680 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration