Table of Contents CITIZENS, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) A reconciliation of federal income tax expense computed by applying the federal income tax rate of 21% in 2019 and 2018 and 35% in 2017 to income (loss) before federal income tax is as follows: December 31, 2019 | 10-K 102 (In thousands) 2019 2018 2017 Current $ 5,542 (49,569) 14,454 Deferred 1,573 62,633 20,687 Total income tax expense $ 7,115 13,064 35,141 Years ended December 31, Income tax expense consists of: (In thousands, except for %) 2019 % 2018 % 2017 % Expected tax expense (benefit) $ 1,186 21.0 % $ 420 21.0 % $ (1,045) 35.0 % Foreign income tax rate differential (1,562) (27.7) (8,133) (406.3) — — Tax-exempt interest and dividends- received deduction (145) (2.6) (227) (11.3) (360) 12.1 Adjustment of prior year taxes (99) (1.8) 113 5.6 68 (2.3) Effect of graduated rates — — — — (140) 4.7 Effect of uncertain tax position 1,148 20.3 2,612 130.5 (355) 11.9 Nondeductible costs to remediate tax compliance issue (27) (0.5) (366) (18.3) (384) 12.9 162(m) compensation limitation 480 8.5 53 2.6 — — Subpart F income 5,853 103.6 18,403 919.2 — — Tax reform re-measurement — — 68 3.4 35,718 (1,196.2) Goodwill impairment — — — — 1,621 (54.3) Other 281 5.2 121 6.2 18 (0.7) Total federal income tax expense $ 7,115 126.0 % $ 13,064 652.6 % $ 35,141 (1,176.9)% Years ended December 31,