Company: GDOT
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0001386278-25-000034
Chunk: 72

Company: GREEN DOT CORP
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 1
Chunk 72
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, 2025.2019 Revolving FacilityIn October 2019, we entered into a secured credit agreement with Wells Fargo Bank, National Association, and other lenders party thereto. The credit agreement provided for a $100.0 million five-year revolving line of credit (the "2019 Revolving Facility"), which matured in October 2024. In September 2024, the then-outstanding balance on the 2019 Revolving Facility was repaid in full, and the 2019 Revolving Facility terminated at its maturity date.We incurred total cash interest expense on our debt during the three months ended March 31, 2025 and 2024 of approximately $1.2 million and $1.4 million, respectively.

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Table of ContentsGREEN DOT CORPORATIONNOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)

Note 10—Income Taxes

For the  three months ended March 31, 2025, we utilized the discrete effective tax rate method, treating the year-to-date period as if it was the annual period to calculate our interim income tax provision, as allowed by ASC 740-270-30-18, "Income Taxes – Interim Reporting." We determined we could not use the estimated annual effective tax rate method as we could not calculate a reliable estimate of the annual effective tax rate due to it being highly sensitive to minor changes in our forecasted amounts, thus generating significant variability in the estimated annual effective tax rate and distorting the customary relationship between income tax expense and pre-tax income in interim periods.Income tax expense for the three months ended March 31, 2025 and 2024 differs from the amount computed by applying the statutory federal income tax rate to income before income taxes. The sources and tax effects of the differences are as follows: Three Months Ended March 31, 20252024U.S. federal statutory tax rate21.0 %21.0 %State income taxes, net of federal tax benefit3.4 (1.4)Foreign tax rate differential(0.2)(1.5)General business credits(1.1)(11.5)IRC 162(m) limitation(2.9)(3.6)Stock-based compensation3.8 22.7 Bank owned life insurance income(1.0)(2.9)Bank owned life insurance surrender— 9.3 Nondeductible expenses0.3 2.6 Other0.1