Income Tax (Tables)

9 Months Ended

Sep. 30, 2020

Components of income tax expense (benefit)

The components of income tax expense for the three and nine months ended September 30, 2020 and 2019, respectively, consisted of the following:



	Three months ended September 30,						Nine months ended September 30,
(In thousands)	2020			2019			2020			2019
Current tax provision	$	7,381		$	6,096		$	17,633		$	14,215
Deferred tax benefit	(868		)	(2,376		)	(2,082		)	(4,197		)
Income tax expense	$	6,513		$	3,720		$	15,551		$	10,018

Segregation of income tax expense based on location of operations

The following table presents the components of income tax expense for the three and nine months ended September 30, 2020 and 2019, and its segregation based on location of operations:



	Three months ended September 30,						Nine months ended September 30,
(In thousands)	2020			2019			2020			2019
Current tax provision
Puerto Rico	$	3,280		$	2,117		$	6,487		$	5,433
United States	214			187			508			202
Foreign countries	3,887			3,792			10,638			8,580
Total current tax provision	$	7,381		$	6,096		$	17,633		$	14,215
Deferred tax (benefit) provision
Puerto Rico	$	(989	)	$	(1,583	)	$	(1,535	)	$	(3,178	)
United States	(68		)	(169		)	1,033			(168		)
Foreign countries	189			(624		)	(1,580		)	(851		)
Total deferred tax benefit	$	(868	)	$	(2,376	)	$	(2,082	)	$	(4,197	)

Schedule of income tax expense differs from computed income tax at statutory rates

Income tax expense differs from the amount computed by applying the Puerto Rico statutory income tax rate to the income before income taxes as a result of the following:



	Nine months ended September 30,
(In thousands)	2020			2019
Computed income tax at statutory rates	$	33,012		$	33,253
Differences in tax rates due to multiple jurisdictions	831			405
Excess tax benefits on share-based compensation	(262		)	(1,300		)
Effect of income subject to tax-exemption grant	(21,662		)	(24,128		)
Unrecognized tax benefit	1,173			211
Other expense	2,459			1,577
Income tax expense	$	15,551		$	10,018