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INCOME TAXES
 3 Months Ended
Dec. 31, 2021
Income Tax Disclosure [Abstract]  
INCOME TAXES INCOME TAXES
The Company recorded an income tax expense of $14.3 million for the three months ended December 31, 2021, resulting in an effective tax rate of 18.89%, compared to an income tax expense of $3.5 million, or an effective tax rate of 10.77%, for the three months ended December 31, 2020. The Company’s effective tax rate was lower than the U.S. statutory rate of 21% primarily because of the anticipated effect of investment tax credits during fiscal year 2022. The Company’s effective tax rate in the future will depend in part on actual investment tax credits earned as part of its financing of solar energy projects.

The table below compares the income tax expense components for the periods presented.
Three Months Ended December 31,
(Dollars in thousands)20212020
Provision at statutory rate$15,876 $6,630 
Tax-exempt income(172)(249)
State income taxes3,087 1,488 
Interim period effective rate adjustment1,827 5,467 
Tax credit investments, net - federal(5,670)(10,123)
Research tax credit— (323)
IRC 162(m) nondeductible compensation263 334 
Other, net(935)309 
Income tax expense$14,276 $3,533 
Effective tax rate18.89 %10.77 %