Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

Income tax expense (benefit) for the years ended December 31, 2015, 2014 and 2013 is summarized as follows:



	Years Ended December 31,
(Dollars in thousands)	2015			2014			2013
Current income taxes:
Federal	$	62,584		$	75,945		$	67,449
State	9,417			10,397			16,046
Foreign	(39		)	4,566			2,196
Total current income taxes	$	71,962		$	90,908		$	85,691
Deferred income taxes:
Federal	$	15,550		$	466		$	1,813
State	5,962			6,113			(114		)
Foreign	1,542			(2,454		)	(160		)
Total deferred income taxes	$	23,054		$	4,125		$	1,539
Total income tax expense	$	95,016		$	95,033		$	87,230

Reconciliation of the Differences Between Taxes Computed Using the Statutory Federal Income Tax Rate and Actual Income Tax Expense

A reconciliation of the differences between taxes computed using the statutory Federal income tax rate of 35% and actual income tax expense is as follows:



	Years Ended December 31,
(Dollars in thousands)	2015			2014			2013
Income tax expense based upon the Federal statutory rate on income before income taxes	$	88,118		$	86,251		$	78,554
Increase (decrease) in tax resulting from:
Tax-exempt interest, net of interest expense disallowance	(2,878		)	(1,936		)	(1,423		)
State taxes, net of federal tax benefit	9,996			10,731			10,355
Income earned on bank owned life insurance	(1,562		)	(896		)	(1,157		)
Non-deductible compensation costs	528			561			654
Meals, entertainment and related expenses	1,283			1,026			993
Foreign subsidiary, net	148			775			588
Tax benefits related to tax credit investments	(778		)	(1,498		)	(1,553		)
Other, net	161			19			219
Income tax expense	$	95,016		$	95,033		$	87,230

Deferred Tax Assets and Liabilities

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities at December 31, 2015 and 2014 are as follows:



	Years Ended December 31,
(Dollars in thousands)	2015		2014
Deferred tax assets:
Allowance for credit losses	$	39,561	$	35,455
Deferred compensation	25,492		19,349
Covered assets	17,754		18,246
Stock-based compensation	9,760		10,735
Other real estate owned	7,610		7,546
Foreign net operating loss carryforward	6,616		2,521
Federal net operating loss carryforward	4,705		2,108
AMT credit carryforward	1,498		1,177
Foreign tax credit carryforward	—		302
Nonaccrued interest	1,603		1,329
Mortgage banking recourse obligation	1,565		1,206
Discount on purchased loans	749		—
Net unrealized losses on securities included in other comprehensive income	11,476		6,242
Net unrealized losses on derivatives included in other comprehensive income	1,386		1,601
Other	3,361		3,523
Total gross deferred tax assets	133,136		111,340
Deferred tax liabilities:
Premises and equipment	33,423		35,902
Equipment leasing	15,089		—
Goodwill and intangible assets	8,198		3,501
Fair value adjustments on loans	6,086		9,444
Deferred loan fees and costs	6,045		4,927
Capitalized servicing rights	3,330		3,037
FHLB stock dividends	904		1,416
Discount on purchased loans	—		11,324
Other	5,874		5,625
Total gross deferred liabilities	78,949		75,176
Net deferred tax assets	$	54,187	$	36,164