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Income Taxes
 12 Months Ended
Dec. 31, 2023
Income Tax Disclosure [Abstract]  
Income Taxes Income taxes
An allocation of federal and state income taxes between current and deferred portions is presented below:
Years Ended December 31,
2023 2022 2021 
Current$31,467 $22,451 $21,980 
Deferred(1,415)12,552 30,770 
Total$30,052 $35,003 $52,750 
The following table presents a reconciliation of federal income taxes at the statutory federal rate of 21% to the Company's effective tax rates for the years ended December 31, 2023, 2022, and 2021:
 Years Ended December 31,
 2023 2022 2021 
Federal taxes calculated at statutory rate$31,561 21.0 %$33,510 21.0 %$51,041 21.0 %
(Decrease) increase resulting from:
State taxes, net of federal benefit(158)(0.1)%3,845 2.4 %8,788 3.5 %
Expense (benefit) from equity based compensation219 0.1 %(392)(0.2)%(2,719)(1.1)%
Municipal interest income, net of interest disallowance(1,804)(1.2)%(1,774)(1.1)%(1,818)(0.8)%
Bank-owned life insurance(393)(0.3)%(305)(0.2)%(324)(0.1)%
NOL Carryback provision under CARES Act— — %— — %(3,424)(1.4)%
Offering costs— — %— — %123 0.1 %
Section 162(m) limitation244 0.2 %241 0.1 %1,381 0.6 %
Other383 0.3 %(122)(0.1)%(298)(0.1)%
Income tax expense, as reported$30,052 20.0 %$35,003 21.9 %$52,750 21.7 %
The Company is subject to Internal Revenue Code Section 162(m), which limits the deductibility of compensation paid to certain individuals. It is the Company’s policy to apply the Section 162(m) limitations to stock-based compensation first followed by cash compensation. As a result of the vesting of this stock-based compensation and cash compensation paid to date, the Company has disallowed a portion of its compensation paid to the applicable individuals.
The components of the deferred tax assets and liabilities at December 31, 2023 and 2022, are as follows: 
December 31,
 2023 2022 
Deferred tax assets: 
Allowance for credit losses$39,228 $38,646 
Operating lease liabilities24,607 25,882 
Net operating loss805 1,088 
Amortization of core deposit intangibles1,135 653 
Deferred compensation7,433 5,245 
Unrealized loss on debt securities 48,714 61,004 
Other assets4,863 6,691 
Subtotal126,785 139,209 
Deferred tax liabilities: 
FHLB stock dividends$(263)$(484)
Operating leases - right of use assets(21,312)(24,478)
Depreciation(5,996)(7,274)
Unrealized gain on equity securities(2,122)(2,287)
Unrealized gain on cash flow hedges(151)(327)
Mortgage servicing rights(42,797)(43,869)
Goodwill(17,995)(15,869)
Other liabilities(4,518)(2,209)
Subtotal(95,154)(96,797)
Net deferred tax assets $31,631 $42,412 
The Company had a net operating loss carryforward generated as a result of a previous merger amounting to $3,835 and $5,179 as of December 31, 2023 and 2022, respectively. The net operating loss carryforward can be used to offset taxable income in future periods and reduce income tax liabilities in those future periods. While net operating losses are subject to certain annual utilization limits under Section 382, the Company believes the net operating loss carryforwards will be realized based on the projected annual limitation and the length of the net operating loss carryover period. The Company's determination of the realization of the net deferred tax asset is based on its assessment of all available positive and negative evidence. The net operating loss carryforward will begin to expire in 2029.