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,
	2020			2019
Current	$	8,168		$	10,194
Deferred	(8,088		)	(4,219		)
Total	$	80		$	5,975

Federal income tax expense differs from the statutory federal rate of 21% for three months ended March 31, 2020 and 2019:



	For the Three Months Ended March 31,
	2020					2019
Federal taxes calculated at statutory rate	$	173		21.0	%	$	5,368		21.0	%
(Decrease) increase resulting from:
State taxes, net of federal benefit	(132		)	(16.0	)%	1,138			4.5	%
Benefit of equity based compensation	139			16.8	%	(392		)	(1.5	)%
Municipal interest income, net of interest disallowance	(264		)	(32.0	)%	(216		)	(0.8	)%
Bank owned life insurance	(18		)	(2.2	)%	(12		)	—	%
Merger costs	131			15.9	%	—			—	%
Other	51			6.2	%	89			0.2	%
Income tax expense, as reported	$	80		9.7	%	$	5,975		23.4	%

The components of the net deferred tax liability at March 31, 2020 and December 31, 2019, are as follows:



	March 31,			December 31,
	2020			2019
Deferred tax assets:
Allowance for credit losses	$	24,430		$	8,113
Operating lease liability	9,125			9,373
Amortization of core deposit intangible	862			1,386
Deferred compensation	3,473			5,231
Unrealized loss on debt securities	54			54
Unrealized loss on equity securities	76			60
Unrealized loss on cash flow hedges	253			—
Other	2,677			2,388
Subtotal	40,950			26,605
Deferred tax liabilities:
FHLB stock dividends	(550		)	(550		)
Operating lease - right of use asset	(8,402		)	(8,641		)
Depreciation	(5,927		)	(5,078		)
Unrealized gain on cash flow hedges	—			(203		)
Unrealized gain on debt securities	(7,490		)	(3,051		)
Mortgage servicing rights	(16,306		)	(19,678		)
Goodwill	(9,470		)	(8,859		)
Other	(1,000		)	(1,035		)
Subtotal	(49,145		)	(47,095		)
Net deferred tax liability	$	(8,195	)	$	(20,490	)