Income Taxes (Tables)
|
12 Months Ended |
Dec. 31, 2016 |
Income Tax Disclosure [Abstract] |
|
Summary of Income Tax Expense Allocated Based on Separate Tax Return Basis |
Income tax expense, allocated based on a separate tax return basis,
consists of the following:
|
|
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|
|
|
|
|
|
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|
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Year Ended December 31 |
|
2016 |
|
|
2015 |
|
|
2014 |
|
(in thousands) |
|
|
|
|
|
|
|
|
|
Current income taxes:
|
|
|
|
|
|
|
|
|
|
|
|
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Federal taxes
|
|
$ |
57,894 |
|
|
$ |
69,572 |
|
|
$ |
18,111 |
|
State taxes
|
|
|
2,329 |
|
|
|
989 |
|
|
|
396 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total current income taxes
|
|
|
60,223 |
|
|
|
70,561 |
|
|
|
18,507 |
|
Deferred income taxes:
|
|
|
|
|
|
|
|
|
|
|
|
|
Federal taxes
|
|
|
14,983 |
|
|
|
63 |
|
|
|
44,113 |
|
State taxes
|
|
|
291 |
|
|
|
(631 |
) |
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total deferred income taxes
|
|
|
15,274 |
|
|
|
(568 |
) |
|
|
44,113 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total income taxes
|
|
$ |
75,497 |
|
|
$ |
69,993 |
|
|
$ |
62,620 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income Tax Expense Related to Gains on Sale of Securities |
Income tax expense related to gains on the sale of securities is
presented in the following table:
|
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|
|
|
|
|
|
|
|
|
|
Year Ended December 31 |
|
2016 |
|
|
2015 |
|
|
2014 |
|
(in thousands) |
|
|
|
|
|
|
|
|
|
Income tax expense related to gains on sale of securities
|
|
$ |
249 |
|
|
$ |
288 |
|
|
$ |
4,101 |
|
|
Summary of Deferred Tax Assets and Liabilities from Tax Effects of Temporary Differences |
The following table presents the tax effects of temporary
differences that give rise to deferred tax assets and
liabilities:
|
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|
|
|
|
|
|
|
December 31 |
|
2016 |
|
|
2015 |
|
(in thousands) |
|
|
|
|
|
|
Deferred tax assets:
|
|
|
|
|
|
|
|
|
Allowance for credit losses
|
|
$ |
56,090 |
|
|
$ |
50,414 |
|
Discount on acquired loans
|
|
|
48,978 |
|
|
|
28,503 |
|
Net operating loss/tax credit carryforwards
|
|
|
17,753 |
|
|
|
16,487 |
|
Deferred compensation
|
|
|
12,236 |
|
|
|
8,515 |
|
Securities impairments
|
|
|
— |
|
|
|
252 |
|
Pension and other defined benefit plans
|
|
|
7,713 |
|
|
|
8,539 |
|
Net unrealized securities losses
|
|
|
6,972 |
|
|
|
1,301 |
|
Other
|
|
|
11,264 |
|
|
|
8,020 |
|
|
|
|
|
|
|
|
|
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Total
|
|
|
161,006 |
|
|
|
122,031 |
|
Valuation allowance
|
|
|
(18,945 |
) |
|
|
(17,179 |
) |
|
|
|
|
|
|
|
|
|
Total deferred tax assets
|
|
|
142,061 |
|
|
|
104,852 |
|
|
|
|
|
|
|
|
|
|
Deferred tax liabilities:
|
|
|
|
|
|
|
|
|
Loan costs
|
|
|
(2,222 |
) |
|
|
(2,966 |
) |
Depreciation
|
|
|
(12,392 |
) |
|
|
(10,836 |
) |
Prepaid expenses
|
|
|
(682 |
) |
|
|
(628 |
) |
Amortizable intangibles
|
|
|
(18,506 |
) |
|
|
(12,940 |
) |
Lease financing
|
|
|
(5,538 |
) |
|
|
(6,763 |
) |
Debt discharge income deferral
|
|
|
(1,361 |
) |
|
|
(2,042 |
) |
Originated mortgage servicing rights
|
|
|
(748 |
) |
|
|
(1,238 |
) |
Fair value adjustments on securities
|
|
|
(86 |
) |
|
|
— |
|
Other
|
|
|
(1,253 |
) |
|
|
(1,928 |
) |
|
|
|
|
|
|
|
|
|
Total deferred tax liabilities
|
|
|
(42,788 |
) |
|
|
(39,341 |
) |
|
|
|
|
|
|
|
|
|
Net deferred tax assets
|
|
$ |
99,273 |
|
|
$ |
65,511 |
|
|
|
|
|
|
|
|
|
|
|
Summary of Reconciliation Between the Statutory Tax Rate and Actual Effective Tax Rate |
The following table provides a reconciliation between the statutory
tax rate and the actual effective tax rate:
|
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|
|
|
|
|
|
|
|
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|
Year Ended December 31 |
|
2016 |
|
|
2015 |
|
|
2014 |
|
Statutory tax rate
|
|
|
35.0 |
% |
|
|
35.0 |
% |
|
|
35.0 |
% |
State taxes, net of federal benefit
|
|
|
0.7 |
|
|
|
0.8 |
|
|
|
0.1 |
|
Valuation allowance reversal
|
|
|
— |
|
|
|
(0.8 |
) |
|
|
— |
|
Tax-exempt interest
|
|
|
(2.9 |
) |
|
|
(2.2 |
) |
|
|
(1.8 |
) |
Cash surrender value of life insurance
|
|
|
(1.5 |
) |
|
|
(1.3 |
) |
|
|
(1.3 |
) |
Tax credits
|
|
|
(0.9 |
) |
|
|
(1.1 |
) |
|
|
(1.4 |
) |
Other items
|
|
|
0.2 |
|
|
|
0.1 |
|
|
|
(0.3 |
) |
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|
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Actual effective tax rate
|
|
|
30.6 |
% |
|
|
30.5 |
% |
|
|
30.3 |
% |
|
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|
Summary of Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits |
A reconciliation of the beginning and ending amount of unrecognized
tax benefits (excluding interest and the federal income tax benefit
of unrecognized state tax benefits) is as follows:
|
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|
|
|
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|
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|
Year Ended December 31 |
|
2016 |
|
|
2015 |
|
(in thousands) |
|
|
|
|
|
|
Balance at beginning of year
|
|
$ |
455 |
|
|
$ |
401 |
|
Additions based on tax positions related to current year
|
|
|
163 |
|
|
|
134 |
|
Additions based on tax positions of prior year
|
|
|
— |
|
|
|
— |
|
Reductions for tax positions of prior years
|
|
|
— |
|
|
|
— |
|
Reductions due to expiration of statute of limitations
|
|
|
(76 |
) |
|
|
(80 |
) |
|
|
|
|
|
|
|
|
|
Balance at end of year
|
|
$ |
542 |
|
|
$ |
455 |
|
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