Income taxes:

An allocation of federal and state income taxes between current and deferred portions is presented below:



	For the three months ended March 31,
	2019			2018
Current	$	10,194		$	—
Deferred	(4,219		)	5,482
Total	$	5,975		$	5,482

Federal income tax expense differs from the statutory federal rate of 21% for the three months ended March 31, 2019 and 2018 due to the following:



	For the three months ended March 31,
	2019					2018
Federal taxes calculated at statutory rate	$	5,368		21.0	%	$	5,300		21.0	%
Increase (decrease) resulting from:
State taxes, net of federal benefit	1,138			4.5	%	1,143			4.5	%
Benefit of equity based compensation	(392		)	(1.5	)%	(736		)	(3.0	)%
Municipal interest income, net of interest disallowance	(216		)	(0.8	)%	(201		)	(0.8	)%
Bank owned life insurance	(12		)	—	%	(12		)	—	%
Other	89			0.2	%	(12		)	—	%
Income tax expense, as reported	$	5,975		23.4	%	$	5,482		21.7	%

The components of the net deferred tax liability at March 31, 2019 and December 31, 2018, are as follows:



	March 31,			December 31,
	2019			2018
Deferred tax assets:
Allowance for loan losses	$	7,768		$	7,539
Operating lease liability	9,079			—
Amortization of core deposit intangible	1,060			1,012
Deferred compensation	3,802			5,878
Unrealized loss on available-for-sale debt securities	558			3,299
Other	2,012			1,998
Subtotal	24,279			19,726
Deferred tax liabilities:
FHLB stock dividends	(550		)	(550		)
Operating lease - right of use asset	(8,826		)	—
Depreciation	(4,777		)	(4,812		)
Cash flow hedges	(586		)	(736		)
Mortgage servicing rights	(16,684		)	(23,146		)
Other	(7,904		)	(7,145		)
Subtotal	(39,327		)	(36,389		)
Net deferred tax liability	$	(15,048	)	$	(16,663	)

Tax periods for all fiscal years after 2014 remain open to examination by the federal and state taxing jurisdictions to which the Company is subject.