Income Taxes Income Taxes

3 Months Ended

Mar. 31, 2019

Income Tax Disclosure [Abstract]

Income Tax Disclosure [Text Block]

INCOME TAXES

Our income tax expense for the three months ended March 31, 2019 and March 31, 2018 totaled $1.6 million and $1.9 million, respectively. Our effective tax rate (income tax expense as a percentage of income before taxes) for the three months ended March 31, 2019 and 2018 was 18.4% and 20.2%, respectively. A reconciliation between the statutory income tax rate and our effective income tax rate for the three months ended March 31, 2019 and 2018 is as follows:

	For the Three Months Ended March 31,
	2019		2018
Dollars in thousands	Percent		Percent
Applicable statutory rate	21.0	%	21.0	%
Increase (decrease) in rate resulting from:
Tax-exempt interest and dividends, net	(2.5	)%	(2.6	)%
State income taxes, net of Federal income tax benefit	2	%	2.2	%
Low-income housing and rehabilitation tax credits	(0.5	)%	(1.0	)%
Other, net	(1.6	)%	0.6	%
Effective income tax rate	18.4	%	20.2	%

The components of applicable income tax expense for the three months ended March 31, 2019 and 2018 are as follows:

	For the Three Months Ended March 31,
Dollars in thousands	2019			2018
Current
Federal	$	1,650		$	1,753
State	264			278
	1,914			2,031
Deferred
Federal	(274		)	(134		)
State	(39		)	(21		)
	(313		)	(155		)
Total	$	1,601		$	1,876