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Income Taxes
6 Months Ended
Jun. 30, 2014
Income Taxes [Abstract]  
Income Taxes

NOTE 7. Income Taxes

 

Our effective income tax rate for the three months ended June 30, 2014 and 2013 was 26.1% and 30.2%, respectively. Our effective income tax rate for the six months ended June 30, 2014 and 2013 was 27.9% and 31.0%, respectively. The estimated annual effective income tax rates used in calculating the income tax expense for the reporting periods ended June 30, 2014 and 2013 were impacted by the level of permanent differences, including tax-advantaged income, and by Low Income Housing and other tax credits, resulting in effective income tax rates below statutory rates for the interim reporting periods. The change in the estimated annual effective income tax rates used to calculate income tax expense was influenced by the amount of tax-advantaged income relative to total income for the second quarter of 2014, as compared to the amount of tax-advantaged income relative to total income for the second quarter of 2013. Additionally, adjustments for income tax expense/(benefit) from discrete items recorded for the three months ended June 30, 2014 and 2013 impacted the effective income tax rate by (4.2%) and (0.5%), respectively. The net deferred discrete income tax benefit recorded during the period for the effect of recent enactment of state tax legislation caused a reduction in the effective income tax rate for the three months ended June 30, 2014 of (4.2%).