Annual report pursuant to Section 13 and 15(d)

INCOME TAXES (Tables)

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INCOME TAXES (Tables)
 12 Months Ended
Dec. 31, 2019
Income Tax Disclosure [Abstract]  
Schedule of Components of Income Tax Expense
Components of income tax expense are as follows (in thousands):
 
  Years Ended December 31,
  2019 2018 2017
Current taxes:
Federal $ 41,019    $ 37,926    $ 76,988   
State 11,644    9,162    8,006   
52,663    47,088    84,994   
Deferred taxes:
Federal (8)   6,687    18,916   
State 627    2,147    354   
619    8,834    19,270   
Total $ 53,282    $ 55,922    $ 104,264   
Schedule of Income Tax Reconciliation
Income taxes differ for the years ended December 31, 2019, 2018 and 2017, from the amounts computed using the expected federal statutory income tax rate of 21%, 21% and 35%, respectively, as a result of the following (in thousands):
  Years Ended December 31,
  2019 2018 2017
Expected taxes at current federal statutory income tax rate $ 63,618    $ 59,483    $ 86,632   
State income taxes, net of federal tax benefit 9,999    8,934    5,434   
Tax Act revaluation of deferred tax balances —    (2,741)   19,687   
Manufacturing deduction —    —    (7,580)  
Federal tax credits (20,582)   (10,330)   (484)  
Non-deductible costs and other 247    576    575   
Income tax expense $ 53,282    $ 55,922    $ 104,264   
Schedule of Deferred Tax Assets and Liabilities Deferred tax assets and liabilities are comprised of timing differences (in thousands) as follows:
At December 31,
2019 2018
Deferred tax assets:
Real estate $ 12,090    $ 11,053   
Goodwill —    862   
Warranty reserve 5,190    5,824   
Wages payable 6,429    4,908   
Equity-based compensation 5,991    5,153   
Accrued expenses 75    104   
Net operating loss carry-forwards 752    1,005   
Other 4,488    4,946   
Total deferred tax assets 35,015    33,855   
Deferred tax liabilities:
Goodwill 3    —   
Prepaids 2,113    1,409   
Fixed assets 6,982    5,981   
Total deferred tax liabilities 9,098    7,390   
Deferred tax assets, net 25,917    26,465   
Other deferred tax liability - state franchise taxes 4,449    4,378   
Net deferred tax assets and liabilities $ 21,468    $ 22,087