CASH 2017 Annual Report

131 NOTE 12. INCOME TAXES The Company and its subsidiaries file a consolidated federal income tax return on a fiscal year basis. The provision for income taxes for the years presented below consisted of the following: Years ended September 30, 2017 2016 2015 (Dollars in Thousands) Federal: Current $ 12,153 $ 4,410 $ 4,217 Deferred (5,040) (440) (3,896) 7,113 3,970 321 State: Current 4,366 1,422 1,048 Deferred (1,246) 210 (1) 3,120 1,632 1,047 Income tax expense $ 10,233 $ 5,602 $ 1,368 Total income tax expense differs from the statutory federal income tax rate as follows: Years ended September 30, 2017 2016 2015 (Dollars in Thousands) Income tax expense at federal tax rate $ 19,303 $ 13,588 $ 6,798 Increase (decrease) resulting from: State income taxes net of federal benefit 2,014 933 692 Nontaxable buildup in cash surrender value (776) (580) (711) Stock based compensation (593) (66) (37) Tax exempt income (9,991) (8,257) (5,230) Nondeductible expenses 316 196 188 Other, net (40) (212) (332) Total income tax expense $ 10,233 $ 5,602 $ 1,368