INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2024

Income Tax Disclosure [Abstract]

Schedule of comprehensive income tax

The following table presents total income tax expense:

	Year Ended December 31,
(dollars in millions)	2024	2023	2022
Income tax expense	$379	$422	$582
Tax effect of changes in OCI	62	289	(1,319)
Total comprehensive income tax expense (benefit)	$441	$711	($737)

Schedule of components of income tax expense

The following table presents the components of income tax expense:

(dollars in millions)	Current	Deferred	Total
Year Ended December 31, 2024
U.S. federal	$447	($127)	$320
State and local	109	(50)	59
Total	$556	($177)	$379
Year Ended December 31, 2023
U.S. federal	$497	($135)	$362
State and local	167	(107)	60
Total	$664	($242)	$422
Year Ended December 31, 2022
U.S. federal	$355	$88	$443
State and local	170	(31)	139
Total	$525	$57	$582

Schedule of effective income tax rate reconciliation

The following table presents a reconciliation between the U.S. federal income tax rate and the Company’s effective income tax rate:

	Year Ended December 31,
	2024			2023			2022
(dollars in millions)	Amount	Rate		Amount	Rate		Amount	Rate
U.S. federal income tax expense and tax rate	$396	21.0	%	$426	21.0	%	$558	21.0	%
Increase (decrease) resulting from:
State and local income taxes (net of federal benefit)	46	2.5		58	2.9		133	5.0
Bank-owned life insurance	(22)	(1.2)		(20)	(1.0)		(19)	(0.7)
Tax-exempt interest	(12)	(0.7)		(12)	(0.6)		(8)	(0.3)
Tax advantaged investments (including related credits)	(82)	(4.4)		(77)	(3.8)		(102)	(3.8)
Other tax credits	(2)	(0.1)		(3)	(0.1)		(9)	(0.3)
Adjustments for uncertain tax positions	—	—		5	0.2		1	—
Non-deductible FDIC insurance premiums	34	1.8		35	1.7		20	0.7
Legacy tax matters	—	—		—	—		3	0.1
Other	21	1.2		10	0.5		5	0.2
Total income tax expense and effective tax rate	$379	20.1	%	$422	20.8	%	$582	21.9	%

Schedule of deferred tax assets and liabilities

The following table presents the significant components of the Company’s deferred tax assets and liabilities:

	December 31,
(dollars in millions)	2024	2023
Deferred tax assets:
Other comprehensive income	$1,242	$1,291
Allowance for credit losses	552	555
Federal and state net operating and capital loss carryforwards	69	79
Accrued expenses	1,198	1,152
Investment and other tax credit carryforwards	214	130
Partnerships	4	—
Other	10	9
Total deferred tax assets	3,289	3,216
Valuation allowance	(120)	(137)
Deferred tax assets, net of valuation allowance	3,169	3,079
Deferred tax liabilities:
Leasing transactions	208	297
Amortization of intangibles	425	421
Depreciation	570	532
Pension and other employee compensation plans	146	130
Partnerships	—	12
Deferred Income	24	3
MSRs	243	252
Total deferred tax liabilities	1,616	1,647
Net deferred tax asset (liability)	$1,553	$1,432

Schedule of unrecognized tax benefits roll forward

The following table presents a reconciliation of the beginning and ending amount of unrecognized tax benefits:

	December 31,
(dollars in millions)	2024	2023	2022
Balance at the beginning of the year	$7	$6	$7
Gross increase for tax positions related to current year	1	1	—
Gross increase for tax positions related to prior years	1	1	—
Decrease for tax positions as a result of the lapse of the statutes of limitations	(1)	—	—
Decrease for tax positions related to settlements with taxing authorities	(3)	(1)	(1)
Balance at end of year	$5	$7	$6