Tax

Tax Reconciliation - Tax Exempt Income

Two Harbors Investment Corporation Tax Reconciliation - Tax Exempt Income remained flat by 0.0% to 5.6% in Q4 2025 compared to the prior quarter. Year-over-year, this metric grew by 39.8%, from 4.0% to 5.6%. Over 4 years (FY 2021 to FY 2025), Tax Reconciliation - Tax Exempt Income shows an upward trend with a 12.6% CAGR. This is a positive signal — higher values indicate stronger performance for this metric.

Analysis

StatementIncome Statement
SectionTax
CategoryProfitability
SignalHigher is better
VolatilityModerate
First reportedQ1 2018
Last reportedQ4 2025Feb 17, 2026

How to read this metric

A higher value indicates a greater benefit from tax-exempt income sources, improving net profitability.

Detailed definition

The tax effect of income that is exempt from taxation, expressed as a reconciliation item to the statutory tax rate. Thi...

Peer comparison

Standard component of the effective tax rate reconciliation table for companies with significant investment income.

Metric ID: ms_tax_reconciliation_tax_exempt_income

Historical Data

5 years
 FY'21FY'22FY'23FY'24FY'25
Value-14%8%-33%16.1%22.5%
YoY Change+157.1%-512.5%+148.8%+39.8%
Range-33%22.5%
CAGR+12.6%
Avg YoY Growth-41.7%
Median YoY Growth+94.3%
Current Streak2 years growth

Tax Reconciliation - Tax Exempt Income at Other Companies

Frequently Asked Questions

What is Two Harbors Investment Corporation's tax reconciliation - tax exempt income?
Two Harbors Investment Corporation (TWO) reported tax reconciliation - tax exempt income of 5.6% in Q4 2025.
How has Two Harbors Investment Corporation's tax reconciliation - tax exempt income changed year-over-year?
Two Harbors Investment Corporation's tax reconciliation - tax exempt income increased by 39.8% year-over-year, from 4.0% to 5.6%.
What is the long-term trend for Two Harbors Investment Corporation's tax reconciliation - tax exempt income?
Over 4 years (2021 to 2025), Two Harbors Investment Corporation's tax reconciliation - tax exempt income has grown at a 12.6% compound annual growth rate (CAGR), from -14.0% to 22.5%.
What does tax reconciliation - tax exempt income mean?
The reduction in tax expense resulting from income that is not subject to tax.