FEDERAL AGRICULTURAL MORTGAGE CORP Income Taxes Disclosure
| For the Year Ended December 31, | |||||||||||||||||
| 2025 | 2024 | 2023 | |||||||||||||||
| (in thousands) | |||||||||||||||||
| Current income tax expense | $ | 59,371 | $ | 54,687 | $ | 46,712 | |||||||||||
| Deferred income tax expense | (11,075) | (3,777) | 6,386 | ||||||||||||||
| Income tax expense | $ | 48,296 | $ | 50,910 | $ | 53,098 | |||||||||||
| For the Year Ended December 31, | |||||||||||||||||||||||||||||||||||
| 2025 | 2024 | 2023 | |||||||||||||||||||||||||||||||||
Amount | Percent | Amount | Percent | Amount | Percent | ||||||||||||||||||||||||||||||
| (dollars in thousands) | |||||||||||||||||||||||||||||||||||
| $ | 53,699 | 21.0 | % | $ | 54,201 | 21.0 | % | $ | 53,151 | 21.0 | % | ||||||||||||||||||||||||
| Tax Credits | |||||||||||||||||||||||||||||||||||
| Renewable Energy Investment Tax Credits | (4,791) | (1.9) | % | (2,627) | (1.0) | % | — | — | % | ||||||||||||||||||||||||||
Other Tax Credits | (869) | (0.3) | % | (633) | (0.3) | % | (305) | (0.1) | % | ||||||||||||||||||||||||||
| Nontaxable or Nondeductible Items | 257 | 0.1 | % | (31) | — | % | 252 | 0.1 | % | ||||||||||||||||||||||||||
| Income tax expense | $ | 48,296 | 18.9 | % | $ | 50,910 | 19.7 | % | $ | 53,098 | 21.0 | % | |||||||||||||||||||||||
| As of December 31, | |||||||||||
| 2025 | 2024 | ||||||||||
| (in thousands) | |||||||||||
| Deferred tax assets: | |||||||||||
| Basis difference related to hedge items | $ | 120,907 | $ | 136,589 | |||||||
| Unrealized losses on available-for-sale securities | 1,711 | 12,441 | |||||||||
| Allowance for losses | 8,331 | 5,310 | |||||||||
| Compensation and Benefits | 2,506 | 1,779 | |||||||||
| Stock-based compensation | 3,261 | 3,014 | |||||||||
| Other | 5,789 | 5,887 | |||||||||
| Total deferred tax assets | $ | 142,505 | $ | 165,020 | |||||||
| Deferred tax liability: | |||||||||||
| Basis differences related to financial derivatives | $ | 120,446 | $ | 135,528 | |||||||
| Unrealized gains on cash flow hedges | 5,268 | 9,212 | |||||||||
| Basis difference related to structured securitizations | 16,420 | 18,726 | |||||||||
| Other | 198 | 10 | |||||||||
| Total deferred tax liability | $ | 142,332 | $ | 163,476 | |||||||
| Net deferred tax asset | $ | 173 | $ | 1,544 | |||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 19, 2026 | Showing above |
| 2024 | Feb 21, 2025 | |
| 2023 | Feb 23, 2024 | |
| 2022 | Feb 24, 2023 | |
| 2021 | Feb 28, 2022 | |
| 2020 | Feb 25, 2021 | |
| 2019 | Feb 25, 2020 | |
| 2018 | Feb 21, 2019 | |
| 2017 | Mar 8, 2018 | |
| 2016 | Mar 9, 2017 | |
| 2015 | Mar 10, 2016 | |
About Income Taxes Disclosures
The income tax disclosure reveals how much a company actually pays in taxes versus what the statutory rate would predict. Analysts focus on the effective tax rate (ETR) reconciliation, which breaks down every item driving the gap between the 21% federal rate and the company's reported ETR — including R&D credits, foreign rate differentials, and state taxes. Deferred tax assets (DTAs) and their valuation allowances signal management's confidence in future profitability: a rising allowance suggests the company doubts it can use accumulated tax benefits. Uncertain tax benefit (UTB) reserves quantify exposure to IRS challenges on aggressive positions.
Key signals to watch: sudden ETR drops without clear operational reasons, large increases in valuation allowances, growing UTB balances, and significant unremitted foreign earnings. Post-TCJA, pay attention to GILTI and BEAT provisions that affect multinational tax structures. Compare the cash taxes paid (from the cash flow statement) against the income tax provision to gauge earnings quality.