v3.26.3
INCOME TAX
 9 Months Ended
Sep. 30, 2026
Income Tax Disclosure [Abstract]  
INCOME TAX INCOME TAX
Income tax expense (benefit) is composed of the following:
Three months ended September 30,Nine months ended September 30,
2026202520262025
Current$10,540 $8,345 $26,007 $25,124 
Deferred(814)1,141 258 (5,229)
Income tax expense (benefit)$9,726 $9,486 $26,265 $19,895 
Our effective tax rates for the three- and nine-month periods ended September 30, 2026 and 2025 are different than the federal statutory rate of 21 percent, due primarily to the net effect of tax-exempt municipal bond interest income and tax adjustments related to equity-based compensation.
As of September 30, 2026 and 2025, the Company has recorded no valuation allowance related to deferred tax assets. We believe it is more likely than not that all deferred tax assets will be realized. Our determination was based on evidence of taxable income in the carryback and carryforward periods and our tax planning strategy of holding debt securities with unrealized losses to recovery.
For the nine-month periods ended September 30, 2026 and 2025, we made payments for income taxes totaling $27,775 and $31,955, respectively. For the nine-month periods ended September 30, 2026 and 2025, we received tax refunds of $962 and $16,240, respectively. Interest on the federal tax refund of $2,571 was also received in the nine-month period ended September 30, 2025.
We file a consolidated federal income tax return. We also file income tax returns in various state jurisdictions. We are no longer subject to federal or state income tax examination for tax years 2022 and prior.