Income Tax (Tables)

12 Months Ended

Dec. 31, 2019

Schedule of Components of Income Tax Expense (Benefit)

he components of the income tax provision (benefit) are as follows:



	2019			2018		2017
Current tax expense (benefit)	$	6,726		$	—	$	—
Deferred tax expense (benefit)	(10,239		)	—		—
Total income tax provision (benefit)	$	(3,513	)	$	—	$	—

Schedule of Effective Income Tax Rate Reconciliation

A reconciliation of the difference between the provision for income taxes and income taxes at the statutory U.S. federal income tax rate is as follows for the years ended December 31:



	2019		2018		2017
Federal statutory rate	21.0	%	21.0	%	34.0	%
Effect of:
Foreign operations	(9.9	)%	—	%	—	%
Share based and officers' compensation	1.3	%	—	%	—	%
State income taxes, net of federal tax benefit	6.5	%	—	%	—	%
Change in valuation allowance	(15.7	)%	(21.4	)%	(36.5	)%
Research and development and other tax credits	(20.7	)%	0.4	%	2.5	%
Income tax provision effective rate	(17.5	)%	—	%	—	%

Schedule of Deferred Tax Assets

The significant components of our deferred tax asset were as follows as of December 31 (in thousands):



	2019			2018
Deferred tax assets relating to:
Net operating loss carryforwards	$	7,439		$	4,104
Loan loss reserve	35,452			33,691
Deferred compensation	6,967			5,839
Imputed interest income	532			415
Leases	1,389			1,207
Unrealized loss	345			545
Miscellaneous items	1,345			613
Total gross deferred tax assets	53,469			46,414
Deferred tax liabilities:
Property, equipment and software	3,011			3,151
Origination costs	5,848			5,685
Total gross deferred tax liabilities	8,859			8,836
Net deferred tax asset	44,610			37,578
Less: valuation allowance	(34,373		)	(37,578		)
Net deferred tax asset less valuation allowance	$	10,237		$	—