INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2015

INCOME TAXES [Abstract]

Income tax expense (benefits)

Income tax expense (benefit) consists of the following components:

	2015				2014
Current tax		$	747,714			$	3,233,286
Deferred tax			(1,680,429	)			(2,150,359	)
Income tax expense (benefit)		$	(932,715	)		$	1,082,927

Income tax expense (benefit) reconciliation

The expense for income differed from the amounts computed by applying the applicable United States statutory rate of 35% before income taxes as a result of the following differences:

	2015			2014
Tax computed at statutory rate	$	95,663		$	3,894,334
Changes in taxes due to:
Non-controlling interest		(101,297	)		(1,073,704	)
Current period loss for which no tax benefit was recognized		17,693			17,401
Small company deduction		(552,694	)		(134,653	)
Dividend received deduction		(100,349	)		(1,414,353	)
Other		(291,731	)		(206,098	)
Income tax expense (benefit)	$	(932,715	)	$	1,082,927

Major components that comprise the deferred tax liability

The following table summarizes the major components that comprise the deferred tax liability as reflected in the balance sheets:

	2015			2014
Investments	$	(2,735,072	)	$	2,728,928
Cost of insurance acquired		2,849,133			3,166,794
Management/consulting fees		(55,125	)		(57,454	)
Future policy benefits		1,546,770			1,778,105
Deferred gain on sale of subsidiary		2,312,483			2,312,483
Other liabilities		27,406			(127,461	)
Federal tax DAC		(540,128	)		(387,601	)
Deferred tax liability	$	3,405,467		$	9,413,794