Income Taxes (Tables)

12 Months Ended

Dec. 31, 2023

Income Tax Disclosure [Abstract]

Income Tax Provision

The income tax provision included in the consolidated statements of income was as follows for the periods presented ($ in thousands):

	Years Ended December 31,
	2023			2022			2021
Current
Federal	$	29,450		$	15,377		$	5,815
State		7,197			3,283			2,118
Deferred
Federal		(3,840	)		(13,440	)		16,092
State		(960	)		(3,360	)		4,023
Income tax provision	$	31,847		$	1,860		$	28,048

Income Tax Reconciliation

For the periods presented, the income tax provision differs from the amount computed by applying the statutory federal income tax rate in effect for each respective period to income before income taxes as a result of the following ($ in thousands):

	Years Ended December 31,
	2023			2022			2021
Income tax computed at statutory tax rate	$	41,441		$	15,487		$	36,837
Tax exempt interest		(5,521	)		(4,419	)		(3,935	)
Nondeductible interest expense		2,104			271			106
State income taxes, net		5,686			2,596			1,673
Income tax credits, net		(11,904	)		(10,071	)		(10,479	)
Death benefit gains		(80	)		(287	)		(175	)
Other		121			(1,717	)		4,021
Income tax provision	$	31,847		$	1,860		$	28,048

Deferred Tax Assets and Liabilities

Temporary differences between the financial statement carrying amounts and the tax basis of assets and liabilities gave rise to the following net deferred tax assets at December 31, 2023 and 2022, which are included in other assets on the accompanying consolidated balance sheets ($ in thousands):

	December 31,
	2023		2022
Deferred tax assets:
Litigation losses	$	26,647	$	25,187
Other real estate		1,743		70
Accumulated credit losses		43,473		39,370
Deferred compensation		17,893		17,695
Finance and operating lease liabilities		11,426		10,997
Realized built-in losses		8,429		9,180
Securities		68,223		84,813
Pension and other postretirement benefit plans		2,025		1,931
Interest on nonaccrual loans		1,218		1,159
LHFS		777		205
Stock-based compensation		3,196		2,647
Derivatives		2,993		5,056
Other		10,543		10,038
Gross deferred tax asset		198,586		208,348
Deferred tax liabilities:
Goodwill and other identifiable intangibles		14,297		14,378
Premises and equipment		17,382		15,978
Finance and operating lease right-of-use assets		10,420		10,209
MSR		26,271		24,452
Securities		3,181		2,069
Other		2,264		2,876
Gross deferred tax liability		73,815		69,962
Net deferred tax asset	$	124,771	$	138,386

Changes in Unrecognized Tax Benefits

The following table provides a summary of the changes during the calendar years presented in the amount of unrecognized tax benefits that are included in other liabilities in the consolidated balance sheet ($ in thousands):

	December 31,
	2023			2022			2021
Balance at beginning of period	$	2,316		$	2,129		$	1,781
Change due to tax positions taken during the current year		1,333			653			412
Change due to tax positions taken during a prior year		(426	)		(266	)		107
Change due to the lapse of applicable statute of limitations during the    current year		(359	)		(200	)		(171	)
Balance at end of period	$	2,864		$	2,316		$	2,129
Accrued interest, net of federal benefit	$	470		$	489		$	419
Unrecognized tax benefits that would impact the effective    tax rate, if recognized	$	2,518		$	1,948		$	1,766