INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2020

Income Tax Disclosure [Abstract]

Provision for Income Taxes

The provisions for income taxes for the years ended December 31, were as follows:

(Dollars in thousands)	2020		2019		2018
Current:
Federal	$	10,899	$	10,450	$	2,203
State	2,019		2,101		1,031
	$	12,918	$	12,551	$	3,234
Deferred:
Federal	$	(3,183)	$	(3,716)	$	117
State	(203)		(237)		22
	(3,386)		(3,953)		139
Income tax expense	$	9,532	$	8,598	$	3,373

Reconciliation of Income Taxes at Federal Statutory Rates to Recorded Income Taxes

Following is a reconciliation of income taxes at federal statutory rates to recorded income taxes for the year ended December 31:

	2020				2019				2018
(Dollars in thousands)	Amount		%		Amount		%		Amount		%
Income tax at federal statutory rate	$	9,858	21.0	%	$	7,353	21.0	%	$	3,229	21.0	%
Tax effect of:
State income taxes, net of federal income taxes	1,435		3.1	%	2,101		6.0	%	738		4.8	%
Tax exempt earnings	(1,381)		(3.0)	%	(856)		(2.8)	%	(594)		(3.9)	%
Other	(380)		(0.8)	%	—		—	%	—		—	%
	$	9,532	20.3	%	$	8,598	24.2	%	$	3,373	21.9	%

Deferred Income Tax Assets and (Liabilities)

Deferred income tax assets and liabilities were comprised of the following at December 31:

(Dollars in thousands)	2020		2019
Gross deferred tax assets:
Allowance for loan losses	$	7,141	$	3,310
Minimum pension liability	1,544		1,589
SERP/RSU	1,039		652
Other	1,209		10
Total gross deferred tax assets	10,933		5,561
Gross deferred tax liabilities:
Depreciation	(1,733)		(1,505)
Pension	(262)		(164)
Unrealized gain on securities available-for-sale	(2,320)		(1,088)
Holding gain on equity securities	(3,893)		(3,838)
Goodwill	(2,498)		(2,134)
Total gross deferred tax liabilities	(10,706)		(8,729)
Net deferred tax assets (liabilities)	$	227	$	(3,168)