INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2016

INCOME TAXES

Summary of Provision for Income Taxes

	For the year ended December 31,
(in thousands)	2016		2015		2014
Current
Federal	$	28,699	$	29,117	$	19,309
State		5,176		5,325		2,959
Total	$	33,875	$	34,442	$	22,268
Deferred
Federal	$	32,159	$	14,571	$	8,862
State		5,436		2,348		1,398
Total	$	37,595	$	16,919	$	10,260
Items charged or credited directly to stockholders' equity
Federal	$	—	$	1,218	$	(33)
State		—		192		(5)
Total	$	—	$	1,410	$	(38)
Income tax expense	$	71,470	$	52,771	$	32,490

Schedule of Reconciliation of the Statutory Federal Tax Provision to Income Tax Provision

	For the year ended December 31,
(in thousands)	2016		2015		2014
Statutory federal expense (35%)	$	65,023	$	47,378	$	29,369
Statutory state income tax expense, net of federal tax benefit		6,714		4,611		2,805
Other		(267)		782		316
Income tax expense	$	71,470	$	52,771	$	32,490

Schedule of Deferred Tax Assets and Liabilities

	As of December 31,
(in thousands)	2016		2015
Deferred Tax Assets
Compensation related	$	17,341	$	12,273
Credit losses		1,269		1,994
Acquisition related (1)		—		1,929
Other		407		1,270
Total deferred tax assets	$	19,017	$	17,466
Deferred Tax Liabilities
Mark-to-market of derivatives and loans held for sale	$	(19,934)	$	(9,745)
Mortgage servicing rights related		(135,519)		(107,166)
Acquisition related (1)		(722)		—
Depreciation		(1,862)		(1,980)
Total deferred tax liabilities	$	(158,037)	$	(118,891)
Deferred tax liabilities, net	$	(139,020)	$	(101,425)

(1) Acquisition-related deferred tax assets and deferred tax liabilities consist of book-to-tax differences associated with basis step ups related to the amortization of goodwill recorded from acquisitions, acquisition-related costs capitalized for tax purposes, and book-to-tax differences in intangible asset amortization.