Company: FGBI
Filing Date: 2025-03-17
Form Type: 10-K
Source: 0001408534-25-000015
Chunk: 182

Company: First Guaranty Bancshares, Inc.
Filing Date: 2025-03-17
Form: 10-K
Item: Item 8
Chunk 182
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 Total$3,558 $2,677 Deferred taxes are recorded based upon differences between the financial statement and tax basis of assets and liabilities, and available tax credit carry forwards. Temporary differences between the financial statement and tax values of assets and liabilities give rise to deferred taxes. The significant components of deferred taxes classified in First Guaranty's Consolidated Balance Sheets at December 31, 2024 and 2023 are as follows: December 31,(in thousands)20242023Deferred tax assets:  Allowance for credit losses$7,596 $7,101 Other real estate owned— 18 Unrealized losses on available for sale securities677 416 Unrealized losses on available for sale securities transferred to held to maturity2,743 3,029 Net operating loss822 914 Other277 473 Gross deferred tax assets12,115 11,951 Deferred tax liabilities:  Depreciation and amortization(2,058)(1,871)Core deposit intangibles(622)(768)Discount on purchased loans(118)(180)Other(1,367)(927)Gross deferred tax liabilities(4,165)(3,746)Net deferred tax assets (liabilities)$7,950 $8,205 First Guaranty determined that the net deferred tax asset at December 31, 2024 and 2023 was more likely than not to be realized based on an assessment of all available positive and negative evidence, and therefore no valuation allowance was recorded. Net operating loss carryforwards for income tax purposes were $3.9 million and $4.4 million as of December 31, 2024 and 2023, respectively. The carryforwards were acquired in 2017 in the Premier acquisition and expire from 2027 to 2034, and will be utilized subject to annual Internal Revenue Code Section 382 limitations.

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ASC 740-10, Income Taxes, clarifies the accounting for uncertainty in income taxes and prescribes a recognition threshold and measurement attribute for the consolidated financial statements recognition and measurement of a tax position taken or expected to be taken in a tax return. First Guaranty does not believe it has any unrecognized tax benefits included in its consolidated financial statements. First Guaranty has not had any settlements in the current period with taxing authorities, nor has it recognized tax benefits as a result of a lapse of the applicable statute of limitations. First Guaranty recognizes