Capital One 2006 Annual Report Download - page 113

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95
Expected future benefit payments
The following benefit payments, which reflect expected future service as appropriate, are expected to be paid:
Pension
Benefits
Postretirement
Benefits
2007 $ 14,594 $ 3,869
2008 15,308 4,085
2009 16,254 4,344
2010 16,271 4,578
2011 17,265 4,913
2012 - 2016 99,378 27,877
In 2007, $0.9 million in contributions are expected to be made to the pension plans and $3.9 million in contributions are
expected to be made to the other postretirement benefit plans.
Note 13
Other Non-Interest Expense
Year Ended December 31
2006 2005 2004
Professional services $ 683,440
$ 490,617 $ 415,169
Collections 525,680
537,772 530,909
Fraud losses 103,010
53,744 55,981
Bankcard association assessments 166,512
136,318 122,934
Other 412,064
281,330 184,836
Total $ 1,890,706 $ 1,499,781 $ 1,309,829
Note 14
Income Taxes
The Company accounts for income taxes in accordance with SFAS No. 109, Accounting for Income Taxes, recognizing the
current and deferred tax consequences of all transactions that have been recognized in the financial statements using the
provisions of the enacted tax laws. Deferred tax assets and liabilities are determined based on differences between the
financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in
effect when the differences are expected to reverse. Valuation allowances are recorded to reduce deferred tax assets to an
amount that is more likely than not to be realized.
Significant components of the provision for income taxes attributable to continuing operations were as follows:
Year Ended December 31
2006 2005 2004
Current income tax provision:
Federal taxes $ 1,181,884 $ 899,646 $ 749,800
State taxes 65,741 30,180 33,849
International taxes 61,661 (19,558) 35,107
Total current provision (benefit) $ 1,309,286 $ 910,268 $ 818,756
Deferred income tax provision:
Federal taxes $ 3,678 $ 45,021 $ 12,337
State taxes (25,395) 11,312 (23,944)
International taxes (49,331) 53,254 9,433
Total deferred provision (benefit) $ (71,048) $ 109,587 $ (2,174)
Total income tax provision $ 1,238,238 $ 1,019,855 $ 816,582