Sallie Mae 2015 Annual Report Download - page 156

SLM CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(Dollars in thousands, unless otherwise noted)
20. Income Taxes (Continued)
F-66
The tax effect of temporary differences that give rise to deferred tax assets and liabilities include the following:
December 31,
2015 2014
Deferred tax assets:
Loan reserves . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 45,082 $ 33,570
Stock-based compensation plans . . . . . . . . . . . . . . . . . . . . . 16,939 16,342
Deferred revenue. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 209 418
Operating loss and credit carryovers. . . . . . . . . . . . . . . . . . . 16,106 14,324
Unrealized losses. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,949 7,185
Accrued expenses not currently deductible . . . . . . . . . . . . . 10,696 10,606
Unrecorded tax benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15,251 19,798
Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,871 8,918
Total deferred tax assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . 124,103 111,161
Deferred tax liabilities:
Gains on repurchased debt . . . . . . . . . . . . . . . . . . . . . . . . . . 190,936 251,671
Fixed assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,237 5,849
Acquired intangible assets . . . . . . . . . . . . . . . . . . . . . . . . . . 6,724 6,151
Student loan premiums and discounts, net . . . . . . . . . . . . . . — 3,050
Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,794 2,656
Total deferred tax liabilities . . . . . . . . . . . . . . . . . . . . . . . . . 205,691 269,377
Net deferred tax (liabilities) assets . . . . . . . . . . . . . . . . . . . . $ (81,588) $ (158,216)
Included in operating loss carryovers is a valuation allowance of $83.7 million as of December 31, 2015, against a portion
of our state net operating loss carryovers that management believes is more likely than not will expire prior to being realized.
As of December 31, 2015, we have apportioned state net operating loss carryforwards of $25.6 million which begin to expire in
2029.
Accounting for Uncertainty in Income Taxes
The following table summarizes changes in unrecognized tax benefits:
December 31,
2015 2014 2013
Unrecognized tax benefits at beginning of year. . . . . . . . . . . . . . . . . $ 59,405 $ 7,344 $ 3,951
Increases resulting from tax positions taken during a prior period. . . . . 3,456 45,184 574
Decreases resulting from tax positions taken during a prior period . . . . (10,121) — —
Increases resulting from tax positions taken during the current period .3,447 7,713 2,819
Decreases related to settlements with taxing authorities . . . . . . . . . . . . (7,481) (236) —
Reductions related to the lapse of statute of limitations. . . . . . . . . . . . . (1,597) (600) —
Unrecognized tax benefits at end of year . . . . . . . . . . . . . . . . . . . . . . $ 47,109 $ 59,405 $ 7,344