Income Tax (Tables)

12 Months Ended

Dec. 31, 2021

Reconciliation of Federal Statutory to Actual Tax Expense

The reconciliation between income tax expense expected at the U.S. federal statutory tax rate and the reported income tax expense is summarized in the following table for years ended December 31, 2021, 2020 and 2019:


	2021			2020			2019
Reconciliation of Federal Statutory to Actual Tax Expense:
Federal Statutory Income Tax at 21%	$	50,566		$	35,695		$	40,695
Tax-exempt Interest Income	(16,200)			(13,273)			(10,124)

Stock Compensation	(20)			338			(459)
Earnings on Life Insurance	(1,468)			(1,079)			(953)
Tax Credits	(354)			(425)			(263)
CARES Act - NOL carryback rate differential	—			(1,178)			—
State Tax	2,697			1,122			600
Other	38			175			(171)
Income Tax Expense	$	35,259		$	21,375		$	29,325

Effective Tax Rate	14.6		%	12.6		%	15.1		%

Components of Income Tax Expense (Benefit)

Income tax expense consists of the following components for the years ended December 31, 2021, 2020, 2019:


	2021		2020		2019
Income Tax Expense for the Year Ended December 31:
Currently Payable:
Federal	$	24,634	$	28,463	$	23,938
State	1,473		2,647		422
Deferred:
Federal	7,211		(8,508)		4,726

State	1,941		(1,227)		239
Income Tax Expense	$	35,259	$	21,375	$	29,325

Deferred Tax Assets and Liabilities

Significant components of the net deferred tax assets and liabilities resulting from temporary differences were as follows at December 31, 2021 and 2020:


	2021		2020
Deferred Tax Asset at December 31:
Assets:
Differences in Accounting for Loan Losses	$	52,995	$	31,850
Differences in Accounting for Loan Fees	2,016		4,328

Deferred Compensation	4,172		4,038

Federal & State Income Tax Loss Carryforward and Credits	747		2,089

Other	3,585		3,185
Total Assets	63,515		45,490
Liabilities:
Differences in Depreciation Methods	5,726		6,028
Differences in Accounting for Loans and Securities	3,078		2,840
Difference in Accounting for Pensions and Other Employee Benefits	4,586		1,258
State Income Tax	1,499		1,059
Net Unrealized Gain on Securities Available for Sale	15,889		23,389
Gain on FDIC Modified Whole Bank Transaction	306		359
Other	8,108		6,209
Total Liabilities	39,192		41,142
Net Deferred Tax Asset	$	24,323	$	4,348