FVCBankcorp, Inc. Income Taxes Disclosure
| 2025 | 2024 | ||||||||||
| Deferred Tax Assets: | |||||||||||
| Allowance for credit losses | $ | 4,303 | $ | 4,129 | |||||||
| Net operating loss carryforward – federal and state | 1,724 | 1,908 | |||||||||
| Bank premises and equipment | 304 | 280 | |||||||||
| Nonqualified stock options and restricted stock | 202 | 342 | |||||||||
| Supplemental retirement plans | 200 | 205 | |||||||||
| Lease liability | 1,478 | 1,740 | |||||||||
| Unrealized losses on securities available for sale | 5,774 | 8,081 | |||||||||
| Reserves for unfunded commitments | 107 | 116 | |||||||||
| Other | 107 | 35 | |||||||||
| $ | 14,199 | $ | 16,836 | ||||||||
| Deferred Tax Liabilities: | |||||||||||
| Right-of-use assets | $ | (1,381) | $ | (1,623) | |||||||
| Deferred loan costs | (148) | (278) | |||||||||
| Unrealized gains on interest rate swap | (16) | (1,223) | |||||||||
| Other | (403) | (439) | |||||||||
| $ | (1,948) | $ | (3,563) | ||||||||
| Net Deferred Tax Assets | $ | 12,251 | $ | 13,273 | |||||||
| 2025 | 2024 | ||||||||||
| Current income tax expense | |||||||||||
| Federal | $ | 5,577 | $ | 5,350 | |||||||
| State | 642 | 575 | |||||||||
| Current tax expense | $ | 6,219 | $ | 5,925 | |||||||
| Deferred income tax expense (benefit) | |||||||||||
| Federal | $ | (12) | $ | 1,204 | |||||||
| State | (17) | 104 | |||||||||
| Deferred tax expense (benefit) | $ | (29) | $ | 1,308 | |||||||
| Total income tax expense | $ | 6,190 | $ | 7,233 | |||||||
| December 31, 2025 | December 31, 2024 | ||||||||||||||||||||||
| Amount | Percent | Amount | Percent | ||||||||||||||||||||
| Expected federal income tax expense | $ | 5,931 | 21.0 | % | $ | 4,682 | 21.0 | % | |||||||||||||||
State Income Tax Expense, net of federal effect (1) | 489 | 1.7 | % | 536 | 2.4 | % | |||||||||||||||||
Tax Credits (2) | (9) | — | % | (8) | — | % | |||||||||||||||||
| Non-taxable/ nondeductible items | |||||||||||||||||||||||
| Modified endowment contract penalties on BOLI surrender | — | — | % | 722 | 3.2 | % | |||||||||||||||||
| Tax on loss of BOLI tax favored status of prior appreciation | — | — | % | 1,644 | 7.4 | % | |||||||||||||||||
| Other Non-taxable/Non-Deductible Items | (221) | (0.8) | % | (343) | (1.6) | % | |||||||||||||||||
| Provision for income taxes and effective income tax rate | $ | 6,190 | 21.9 | % | $ | 7,233 | 32.4 | % | |||||||||||||||
(1) State taxes in Maryland made up the majority (greater than 50 percent) of the tax effect in this category in 2025 and 2024 | |||||||||||||||||||||||
(2) Historic tax credit | |||||||||||||||||||||||
| 2025 | 2024 | ||||||||||
| Federal | $ | 4,530 | $ | 5,247 | |||||||
| State and Local | |||||||||||
| Maryland | 728 | * | |||||||||
| Other | 172 | 330 | |||||||||
| $ | 5,430 | $ | 5,577 | ||||||||
| *Jurisdiction below the threshold for the period presented. | |||||||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 16, 2026 | Showing above |
| 2024 | Mar 20, 2025 | |
| 2023 | Mar 21, 2024 | |
| 2022 | Mar 24, 2023 | |
| 2021 | Mar 24, 2022 | |
| 2020 | Mar 25, 2021 | |
| 2019 | Mar 27, 2020 | |
| 2018 | Mar 29, 2019 | |
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.