Income Taxes (Tables)

12 Months Ended

Dec. 31, 2021

Schedule of Components of Income Tax Expense (Benefit)

The provision for income taxes is as follows:


	For the Year Ended December 31,
(In thousands)	2021		2020		2019
Current
Federal	$	23,661	$	21,688	$	20,954
State	3,882		4,471		1,932

Deferred
Federal	6,800		(2,697)		2,808
State	(8)		(644)		4,179
	$	34,335	$	22,818	$	29,873

Schedule of Effective Income Tax Rate Reconciliation

The difference between the total expected tax expense (computed by applying the U.S. Federal tax rate of 21% to pretax income) and the reported income tax provision relating to income before income taxes is as follows:


	For the Year Ended December 31,
(In thousands)	2021		2020		2019
Tax rate applied to income before income taxes	$	33,335	$	21,122	$	27,008
Increase (decrease) resulting from the effects of:
Tax law change	—		(375)		—
Nondeductible acquisition costs	419		199		125
Tax exempt interest on loans, obligations of states and political subdivisions and bank owned life insurance	(1,276)		(1,110)		(1,282)
State income taxes	(813)		(804)		(1,283)
Tax credit investments	(213)		(72)		(72)
Stock compensation	(1,239)		(111)		(698)
Executive compensation disallowance	253		—		—
Other	(5)		142		(36)
Federal tax provision	30,461		18,991		23,762
State tax provision	3,874		3,827		6,111
Total income tax provision	$	34,335	$	22,818	$	29,873

Schedule of Deferred Tax Assets and Liabilities

The following is a summary of the significant components of the Company's deferred tax assets and liabilities as of:


	December 31,
(In thousands)	2021		2020
Allowance for credit losses	$	22,686	$	24,158

Other real estate owned	52		422
Accrued stock compensation	2,323		1,973
Federal tax loss carryforward	2,138		2,857
State tax loss carryforward	1,226		1,333
Lease liabilities	9,399		7,101
Net unrealized securities losses	2,287		—
Deferred compensation	3,276		2,565
Accrued interest and fee income	—		995
Other	477		38
Gross deferred tax assets	43,864		41,442
Less: Valuation allowance	—		—
Deferred tax assets net of valuation allowance	43,864		41,442

Core deposit base intangible	(3,134)		(3,234)
Accrued interest and fee income	(1,660)		—
Net unrealized securities gains	—		(5,890)
Premises and equipment	(776)		(534)
Right of use assets	(8,645)		(6,262)
Other	(2,328)		(1,893)
Gross deferred tax liabilities	(16,543)		(17,813)
Net deferred tax assets	$	27,321	$	23,629

Summary of Income Tax Examinations

The following are the major tax jurisdictions in which the Company operates and the earliest tax year, exclusive of the impact of the net operating loss carryforwards, subject to examination:


Jurisdiction			Tax Year
United States of America			2018
Florida			2018