XML 27 R16.htm IDEA: XBRL DOCUMENT
v3.7.0.1

Income Taxes | 6 Months Ended
--- | ---
Jun. 30, 2017
Income Tax Disclosure [Abstract] |
Income Taxes | Note (7)—Income taxes: In connection with the initial public offering, as discussed in Note 1, the Company terminated its S-Corporation status and became a taxable entity (C Corporation) on September 16, 2016. As such, periods prior to September 16, 2016 will only reflect an effective state income tax rate. During the third quarter of 2016, the net deferred tax liability increased $13,181 from the conversion in the taxable status. The net deferred tax liability is the result of timing differences in the recognition of income/deductions for generally accepted accounting principles (GAAP) and tax purposes. The consolidated statements of income present pro forma statements of income for the prior year periods. Allocation of federal and state income taxes between current and deferred portions is as follows:
|  | For the three months ended |
|  | June 30, |
|  | 2017 |  |  | 2016 |
Current |  | $ | 4,047 |  |  | $ | 1,036 |
Deferred |  |  | 2,527 |  |  |  | 97 |
Total |  | $ | 6,574 |  |  | $ | 1,133 |
|  | For the six months ended |
|  |  |  |  |  | June 30, |
|  | 2017 |  |  | 2016 |
Current |  | $ | 4,047 |  |  | $ | 1,128 |
Deferred |  |  | 7,952 |  |  |  | 1,046 |
Total |  | $ | 11,999 |  |  | $ | 2,174 |
Federal income tax expense for the three and six months ended June 30, 2017 and 2016 differs from the statutory federal rate of 35% due to the following:
|  | For the three months ended |
|  | June 30, |
|  | 2017 |  |  | 2016 |
Federal taxes calculated at statutory rate |  | $ | 6,234 |  |  | $ | — |
Increase (decrease) resulting from: |  |  |  |  |  |  |  |
State taxes, net of federal benefit |  |  | 741 |  |  |  | 1,082 |
Benefit of equity based compensation |  |  | (1 | ) |  |  | — |
Other |  |  | (400 | ) |  |  | 51 |
Income tax expense, as reported |  | $ | 6,574 |  |  | $ | 1,133 |
|  | For the six months ended |
|  |  |  |  |  | June 30, |
|  | 2017 |  |  | 2016 |
Federal taxes calculated at statutory rate |  | $ | 11,539 |  |  | $ | — |
Increase (decrease) resulting from: |  |  |  |  |  |  |  |
State taxes, net of federal benefit |  |  | 1,351 |  |  |  | 2,083 |
Benefit of equity based compensation |  |  | (196 | ) |  |  | — |
Other |  |  | (695 | ) |  |  | 91 |
Income tax expense, as reported |  | $ | 11,999 |  |  | $ | 2,174 |
The components of the net deferred tax liability at June 30, 2017 and December 31, 2016, are as follows:
|  | June 30, |  |  | December 31, |
|  | 2017 |  |  | 2016 |
Deferred tax assets: |  |  |  |  |  |  |  |
Allowance for loan losses |  | $ | 9,103 |  |  | $ | 8,516 |
Amortization of core deposit intangible |  |  | 962 |  |  |  | 996 |
Compensation related |  |  | 5,648 |  |  |  | 7,552 |
Unrealized loss on securities |  |  | 1,066 |  |  |  | 2,462 |
Other |  |  | 2,279 |  |  |  | 2,430 |
Subtotal |  |  | 19,058 |  |  |  | 21,956 |
Deferred tax liabilities: |  |  |  |  |  |  |  |
FHLB stock dividends |  |  | (827 | ) |  |  | (827 | )
Depreciation |  |  | (6,449 | ) |  |  | (6,548 | )
Mortgage servicing rights |  |  | (18,979 | ) |  |  | (12,558 | )
Other |  |  | (6,331 | ) |  |  | (6,203 | )
Subtotal |  |  | (32,586 | ) |  |  | (26,136 | )
Net deferred tax liability |  | $ | (13,528 | ) |  | $ | (4,180 | )
In recording the impact of the conversion to a C Corporation during the third quarter of 2016, the Company recorded a deferred income tax expense of $2,955 related to the unrealized gain on available for sale securities through the income statement in accordance with ASC 740-20-45-8; therefore, the amount shown in other comprehensive income has not been reduced by the above expense. This difference will remain in OCI until the underlying securities are sold or mature in accordance with the portfolio approach allowed under ASC 740. Tax periods for all fiscal years after 2012 remain open to examination by the federal and state taxing jurisdictions to which the Company is subject.

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 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=65882285&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=65882285&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=65882285&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=65882285&loc=d3e32537-109319 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration