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Note 11 - Income Taxes
 12 Months Ended
Jun. 30, 2021
Notes to Financial Statements  
Income Tax Disclosure [Text Block]
NOTE
11
—
INCOME TAXES
 
The provision for income taxes consisted of the following for the years ended
June 
30,
calculated utilizing a statutory federal income tax rate of
21.0%
:
 
   
2021
    
2020
  
Current income taxes
   $
2,170
     $
1,273
  
Deferred income tax benefit
    
(320
)
    
(361
)
Total income tax expense
   $
1,850
     $
912
  
 
The net deferred income tax asset consisted of the following components at
June 
30:
 
   
2021
    
2020
  
Deferred tax assets:
                
Allowance for loan losses
   $
1,317
     $
1,119
  
Deferred compensation
    
896
      
722
  
Deferred income
    
32
      
46
  
Non-accrual loan interest income
    
54
      
42
  
Other
    
1
      
9
  
Gross deferred tax asset
    
2,300
      
1,938
  
                 
Deferred tax liabilities:
                
Depreciation
    
(718
)
    
(742
)
Loan fees
    
(498
)
    
(402
)
FHLB stock dividends
    
(102
)
    
(102
)
Prepaid expenses
    
(56
)
    
(72
)
Intangible assets
    
(88
)
    
(102
)
Net unrealized securities gain
    
(944
)
    
(1,132
)
Gross deferred tax liabilities
    
(2,406
)
    
(2,552
)
Net deferred liability
   $
(106
)
   $
(614
)
 
The difference between the provision for income taxes and amounts computed by applying the statutory income tax rate of
21.0%
to income before taxes consisted of the following for the years ended
June 
30:
 
   
2021
    
2020
  
Income taxes computed at the statutory rate on pretax income
   $
2,276
     $
1,352
  
Tax exempt income
    
(360
)
    
(317
)
Cash surrender value income and death benefit
    
(55
)
    
(124
)
Tax credit
    
(22
)
    
(25
)
Other non-deductible expenses
    
11
      
26
  
Total income tax expense
   $
1,850
     $
912
  
 
The effective tax rate was
17.1%
for the year ended
June 30, 2021
compared to
14.2%
for the year ended
June 30, 2020.
At
June 30, 2021
and
June 30, 2020,
the Corporation had
no
unrecognized tax benefits recorded. The Corporation does
not
expect the total amount of unrecognized tax benefits to significantly increase within the next
twelve
months. There were
no
interest or penalties recorded for the years ended
June 30, 2021
and
2020
and there were
no
amounts accrued for interest and penalties at
June 30, 2021
and
2020.
 
The Corporation and the Bank are subject to U.S. federal income tax as an income-based tax and a capital-based franchise tax in the State of Ohio. The Corporation and the Bank are
no
longer subject to examination by taxing authorities for years before
2017.