Schedule of Components of Income Tax Expense |
The components of income tax expense or benefit were as follows for the years ended December 31, 2023 and 2022:
|
|
|
|
|
|
|
|
|
|
|
|
|
2023 |
|
2022 |
Current tax (benefit) expense: |
|
|
|
Federal |
$ |
(236) |
|
|
$ |
(199) |
|
State |
1,183 |
|
|
870 |
|
|
$ |
947 |
|
|
$ |
671 |
|
Deferred tax (benefit) expense: |
|
|
|
Federal |
$ |
(10,091) |
|
|
$ |
72,764 |
|
State |
2,150 |
|
|
17,954 |
|
|
(7,941) |
|
|
90,718 |
|
Income tax (benefit) expense |
$ |
(6,994) |
|
|
$ |
91,389 |
|
|
Schedule of Reconciliation of Recorded Income Tax Expense of Continuing Operations |
The following table presents a reconciliation of the recorded income tax expense or benefit of continuing operations to the amount of taxes computed by applying the applicable federal statutory tax rate of 21.0% to income or loss from continuing operations before income taxes, as of December 31, 2023 and 2022, respectively:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2023 |
|
2022 |
|
Amount |
|
Percent |
|
Amount |
|
Percent |
Income tax (benefit) expense at federal statutory rate |
$ |
(9,688) |
|
|
21.0 |
% |
|
$ |
88,204 |
|
|
21.0 |
% |
State income taxes, net of federal tax benefit |
2,811 |
|
|
(6.1) |
% |
|
16,297 |
|
|
3.9 |
% |
Contingent consideration |
— |
|
|
— |
|
|
(9,480) |
|
|
(2.3) |
% |
Nondeductible compensation |
485 |
|
|
(1.0) |
% |
|
(876) |
|
|
(0.2) |
% |
Permanent items |
426 |
|
|
(0.9) |
% |
|
(2,150) |
|
|
(0.5) |
% |
Federal and state tax credits, net of federal tax benefit |
(804) |
|
|
1.7 |
% |
|
(520) |
|
|
(0.1) |
% |
Other, net |
(224) |
|
|
0.5 |
% |
|
(86) |
|
|
0.0 |
% |
Total income tax (benefit) expense |
$ |
(6,994) |
|
|
15.2 |
% |
|
$ |
91,389 |
|
|
21.8 |
% |
|
Schedule of Tax Effects of Significant Temporary Differences to Deferred Tax Assets and Liabilities |
The tax effects of significant temporary differences which gave rise to the Company’s deferred tax assets and liabilities are as follows at December 31, 2023 and 2022:
|
|
|
|
|
|
|
|
|
|
|
|
|
2023 |
|
2022 |
Deferred tax assets: |
|
|
|
Investor reserves |
$ |
8,613 |
|
|
$ |
8,304 |
|
Accrued compensation and benefits |
3,023 |
|
|
3,695 |
|
Derivatives, net |
1,502 |
|
|
515 |
|
Deferred compensation |
17,189 |
|
|
16,519 |
|
Lease liability |
19,364 |
|
|
21,551 |
|
|
|
|
|
Research and development credit carryforwards |
2,214 |
|
|
836 |
|
Net operating loss carryforwards |
19,801 |
|
|
12,313 |
|
Capitalized research and experimental expenditures |
7,514 |
|
|
4,259 |
|
Charitable contributions |
205 |
|
|
135 |
|
Total deferred tax assets |
$ |
79,425 |
|
|
$ |
68,127 |
|
Deferred tax liabilities: |
|
|
|
Mortgage servicing rights |
$ |
(280,616) |
|
|
$ |
(273,101) |
|
Intangible assets |
(911) |
|
|
(1,017) |
|
Trading securities |
(25) |
|
|
(24) |
|
|
|
|
|
Other accrued liabilities |
(4,200) |
|
|
(5,957) |
|
Right-of-use assets |
(17,391) |
|
|
(19,424) |
|
Securitized reverse mortgage |
(161) |
|
|
— |
|
Property and equipment |
(1,142) |
|
|
(1,567) |
|
Total deferred tax liabilities |
(304,446) |
|
|
(301,090) |
|
Net deferred tax liabilities |
$ |
(225,021) |
|
|
$ |
(232,963) |
|
|