For the Three Months Ended March 31,

2022

2021

% of

Pretax

Amount

Income

Amount

Income

(dollars in thousands)

Computed "expected" tax expense

$

5,451

21.0

%

$

4,520

21.0

%

Tax exempt income, net

(2,222)

(8.6)

(1,719)

(8.0)

Bank-owned life insurance

(73)

(0.3)

(99)

(0.5)

State income taxes, net of federal benefit, current year

1,291

5.0

1,024

4.8

Provision adjustment from accounting method change

(1,181)

(4.5)

—

Tax credits

(242)

(0.9)

(57)

(0.3)

Income from tax credit equity investments

(301)

(1.2)

—

Acquisition costs

130

0.5

—

Excess tax benefit on stock options exercised and restricted stock awards vested

(434)

(1.7)

(164)

(0.8)

Other

(86)

(0.3)

36

0.2

Federal and state income tax expense

$

2,333

9.0

%

$

3,541

16.4

%