Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

The following table summarizes the provision for income taxes:


	Year Ended December 31,
	2019		2018		2017
	(in thousands)
Current:
Federal	$	15,041	$	23,407	$	35,673
State	6,158		5,992		7,179
	$	21,199	$	29,399	$	42,852
Deferred:
Federal	$	(824)	$	(9,526)	$	2,924
State	140		(3,487)		(1,037)
	$	(684)	$	(13,013)	$	1,887

Tax provision	$	20,515	$	16,386	$	44,739

Significant Components of Federal and State Deferred Tax Assets and Liabilities

Significant components of the Company’s federal and state deferred tax asset and liability balances were as follows:


	Year Ended December 31,
	2019		2018
	(in thousands)
Deferred tax assets:
Allowance for doubtful accounts	$	13,376	$	14,599
Deferred compensation	8,074		7,350
Accrued insurance claims	4,902		3,715
Non-deductible reserves	489		336
Amortization of intangibles	—		24
Other	1,641		1,730
	$	28,482	$	27,754
Deferred tax liabilities:
Expensing of housekeeping supplies	$	(3,796)	$	(4,375)
Amortization of intangibles	(218)		—
Depreciation of property and equipment	(1,969)		(1,913)
Leases	(96)		—
Other	(2,039)		(914)
	$	(8,118)	$	(7,202)

Net deferred tax assets	$	20,364	$	20,552

Reconciliation of The Provision for Income Taxes

The table below provides a reconciliation between the tax expense computed by applying the statutory federal income tax rate to income before income taxes and the provision for income taxes:


	Year Ended December 31,
	2019		2018		2017
	(in thousands)
Income tax expense computed at statutory rate	$	17,872	$	20,981	$	46,538
Increases (decreases) resulting from:
State income taxes, net of federal tax benefit	4,902		1,936		3,661
Federal jobs credits	(3,164)		(5,006)		(4,193)
Tax exempt interest	(399)		(384)		(568)
Stock-based compensation	298		(1,179)		(4,632)
United States Tax Reform - remeasurement of deferred taxes	—		—		3,719
Other, net	1,006		38		214
Income tax expense	$	20,515	$	16,386	$	44,739