Income Taxes (Tables)

6 Months Ended

Jun. 30, 2020

Income Tax Disclosure [Abstract]

Provision for Income Taxes

The provision for income taxes is comprised of the following components for the periods indicated below:

	Three Months Ended June 30,				Six Months Ended June 30,
(In thousands)	2020		2019		2020		2019
Income taxes currently payable	$	9,391	$	12,757	$	31,671	$	23,074
Deferred income taxes	6,202		2,859		4,616		4,940
Provision for income taxes	$	15,593	$	15,616	$	36,287	$	28,014

Schedule of Deferred Tax Assets and Liabilities

The tax effects of temporary differences between the tax basis of assets and liabilities and their financial reporting amounts that give rise to deferred income tax assets and liabilities, and their approximate tax effects, are as follows: 

	June 30,		December 31,
(In thousands)	2020		2019
Deferred tax assets:
Loans acquired	$	13,756	$	20,783
Allowance for credit losses	57,244		16,732
Valuation of foreclosed assets	2,636		2,626
Tax NOLs from acquisition	16,816		18,118
Deferred compensation payable	2,890		2,750
Accrued equity and other compensation	6,845		6,677
Acquired securities	—		3,393
Right-of-use lease liability	8,738		10,221
Allowance for unfunded commitments	6,122		—
Other	5,655		7,886
Gross deferred tax assets	120,702		89,186
Deferred tax liabilities:
Goodwill and other intangible amortization	(39,876)		(41,221)
Accumulated depreciation	(36,731)		(36,554)
Right-of-use lease asset	(8,701)		(10,176)
Unrealized gain on available-for-sale securities	(16,183)		(3,720)
Deferred loan fees and costs	(2,884)		(3,018)
Acquired securities	(820)		—
Other	(5,113)		(4,633)
Gross deferred tax liabilities	(110,308)		(99,322)
Net deferred tax asset (liability)	$	10,394	$	(10,136)

Reconciliation of Income Tax Expense

A reconciliation of income tax expense at the statutory rate to the Company’s actual income tax expense is shown for the periods indicated below:

	Three Months Ended June 30,				Six Months Ended June 30,
(In thousands)	2020		2019		2020		2019
Computed at the statutory rate (21%)	$	15,620	$	14,955	$	36,180	$	27,575
Increase (decrease) in taxes resulting from:
State income taxes, net of federal tax benefit	2,296		1,420		4,359		2,765
Discrete items related to ASU 2016-09	43		(81)		69		(107)
Tax exempt interest income	(1,421)		(1,024)		(2,842)		(1,985)
Tax exempt earnings on BOLI	(212)		(215)		(531)		(394)
Federal tax credits	(1,034)		(729)		(2,068)		(1,458)
Other differences, net	301		1,290		1,120		1,618
Actual tax provision	$	15,593	$	15,616	$	36,287	$	28,014