INCOME TAX (Tables)

12 Months Ended

Dec. 31, 2023

Schedule of 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, 2023, 2022 and 2021:


	2023			2022			2021
Reconciliation of Federal Statutory to Actual Tax Expense:
Federal Statutory Income Tax at 21%	$	54,439		$	53,692		$	50,566
Tax-exempt Interest Income	(18,193)			(19,349)			(16,200)

Stock Compensation	(228)			(214)			(20)
Earnings on Life Insurance	(1,753)			(2,344)			(1,468)
Tax Credits	(331)			(414)			(354)
State Tax	1,171			2,494			2,697
Other	341			(280)			38
Income Tax Expense	$	35,446		$	33,585		$	35,259

Effective Tax Rate	13.7		%	13.1		%	14.6		%

Schedule of Components of Income Tax Expense (Benefit)

Income tax expense consists of the following components for the years ended December 31, 2023, 2022, 2021:


	2023		2022		2021
Income Tax Expense for the Year Ended December 31:
Currently Payable:
Federal	$	29,351	$	21,824	$	24,634
State	(504)		2,696		1,473
Deferred:
Federal	4,613		8,604		7,211

State	1,986		461		1,941
Income Tax Expense	$	35,446	$	33,585	$	35,259

Schedule of 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, 2023 and 2022:


	2023		2022
Deferred Tax Asset at December 31:
Assets:
Differences in Accounting for Credit Losses	$	54,734	$	61,484
Differences in Accounting for Loan Fees	2,398		2,094

Deferred Compensation	4,021		3,922

Federal & State Income Tax Loss Carryforward and Credits	600		600
Net Unrealized Loss on Securities Available for Sale	46,161		62,323
Other	6,716		2,883
Total Assets	114,630		133,306
Liabilities:
Differences in Depreciation Methods	7,439		7,039
Differences in Accounting for Loans and Securities	1,284		1,058
Differences in Accounting for Mortgage Servicing Rights	1,987		616
Difference in Accounting for Pensions and Other Employee Benefits	6,072		3,687
State Income Tax	1,428		1,859

REIT Dividend Deferral	2,979		3,088

Other	8,692		6,502
Total Liabilities	29,881		23,849
Net Deferred Tax Asset	$	84,749	$	109,457