Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

The components of income tax expense were as follows:

Effective tax rates differ from the federal statutory rate of 35%, which is applied to income before income tax expense, due to the following:



	For the Years Ended December 31,
	2015					2014					2013
	Amount			% of pretax income		Amount			% of pretax income		Amount			% of pretax income
(amounts in thousands)
Federal income tax at statutory rate	$	30,973		35.00	%	$	22,185		35.00	%	$	17,604		35.00	%
State income tax	1,434			1.62		1,355			2.14		353			0.70
Tax-exempt interest, net of disallowance	(277		)	(0.31	)	(249		)	(0.39	)	(148		)	(0.30	)
Bank-owned life insurance	(2,422		)	(2.73	)	(1,296		)	(2.04	)	(868		)	(1.73	)
Other	204			0.22		(1,821		)	(2.88	)	663			1.33
Effective income tax rate	$	29,912		33.80	%	$	20,174		31.83	%	$	17,604		35.00	%

The following represents the Bancorp's deferred tax asset and liabilities as December 31, 2015 and 2014:



	December 31,
	2015			2014
(amounts in thousands)
Deferred tax assets:
Allowance for loan losses	$	13,248		$	11,555
Net unrealized losses on securities	3,112			—
OREO expenses	728			588
Non-accrual interest	840			541
Net operating losses	2,290			1,892
Deferred compensation	1,337			1,361
Equity-based compensation	5,196			3,751
Fair value adjustments on acquisitions	428			—
Cash flow hedge	1,679			681
Incentive compensation	2,497			1,558
Other	1,374			1,120
Total deferred tax assets	32,729			23,047
Deferred tax liabilities:
Fair value adjustments on acquisitions	—			(2,002		)
Net unrealized gains on securities	—			(615		)
Net deferred loan fees	(2,688		)	(4,524		)
Bank premises and equipment	(875		)	(1,009		)
Other	(592		)	(1,140		)
Total deferred tax liabilities	(4,155		)	(9,290		)
Net deferred tax asset	$	28,574		$	13,757