AMN 2017 Annual Report

50 (7) Income Taxes The provision for income taxes from operations for the years ended December 31, 2017, 2016 and 2015 consists of the following: Years Ended December 31, 2017 2016 2015 Current income taxes: Federal $ 45,899 $ 68,312 $ 22,552 State 8,699 11,441 3,969 Total 54,598 79,753 26,521 Deferred income taxes: Federal 1,754 (9,115) 8,896 State 3,853 (309) 3,781 Total 5,607 (9,424) 12,677 Provision for income taxes from operations $ 60,205 $ 70,329 $ 39,198 Total income tax expense for the years ended December 31, 2017, 2016 and 2015 was allocated as follows: Years Ended December 31, 2017 2016 2015 Provision for income taxes from operations $ 60,205 $ 70,329 $ 39,198 Shareholders’ equity, for compensation expense for tax purposes in excess of amounts recognized for financial reporting purposes — (3,144) (7,176) $ 60,205 $ 67,185 $ 32,022 The Company’s income tax expense differs from the amount that would have resulted from applying the federal statutory rate of 35% to pretax income from operations because of the effect of the following items during the years ended December 31, 2017, 2016 and 2015: Years Ended December 31, 2017 2016 2015 Tax expense at federal statutory rate $ 67,467 $ 61,658 $ 42,381 State taxes, net of federal benefit 7,880 7,597 5,260 Non-deductible expenses 3,849 3,656 3,505 Share-based compensation (4,889) — — Corporate tax rate change impact on deferred income taxes (14,039) — — Unrecognized tax benefit (1,175) 379 (11,464) Other, net 1,112 (2,961) (484) Income tax expense from operations $ 60,205 $ 70,329 $ 39,198