Income Taxes	9 Months Ended
Sep. 30, 2019
Income Taxes
Income Taxes	12. Income Taxes The Company applies an estimated annual effective rate to interim period pre-tax income to calculate the income tax provision for the quarter in accordance with the principal method prescribed by the accounting guidance established for computing income taxes in interim periods. The Company’s effective tax rates were 21.8% and 17.0% for the three months ended September 30, 2019 and 2018, respectively, and 22.4% and 21.4% for the nine months ended September 30, 2019 and 2018, respectively. The 2018 effective tax rates are lower than the applicable statutory rates due to tax planning strategies in conjunction with the Tax Legislation and research and development studies. In addition, a tax benefit was recognized in 2018 from the portion of the indemnification reserve that was a deductible settlement amount from the PrimeLending inquiry from the United States Department of Justice (“DOJ”) as described in detail in Note 18 to the consolidated financial statements included in the Company’s 2018 Form 10-K. The 2019 effective tax rates are lower than the applicable statutory rates as a result of prior period tax adjustments.

Income Taxes

9 Months Ended

Sep. 30, 2019

12. Income Taxes

The Company applies an estimated annual effective rate to interim period pre-tax income to calculate the income tax provision for the quarter in accordance with the principal method prescribed by the accounting guidance established for computing income taxes in interim periods. The Company’s effective tax rates were 21.8% and 17.0% for the three months ended September 30, 2019 and 2018, respectively, and 22.4% and 21.4% for the nine months ended September 30, 2019 and 2018, respectively. The 2018 effective tax rates are lower than the applicable statutory rates due to tax planning strategies in conjunction with the Tax Legislation and research and development studies. In addition, a tax benefit was recognized in 2018 from the portion of the indemnification reserve that was a deductible settlement amount from the PrimeLending inquiry from the United States Department of Justice (“DOJ”) as described in detail in Note 18 to the consolidated financial statements included in the Company’s 2018 Form 10-K. The 2019 effective tax rates are lower than the applicable statutory rates as a result of prior period tax adjustments.