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Income Taxes
6 Months Ended
Jun. 30, 2016
Income Tax Disclosure [Abstract]  
Income Taxes

Note 13 Income Taxes

 

The income tax rate for the three months ended June 30, 2016 and 2015 was an expense of 17.9% and 106.6%, respectively. The income tax rate for the six months ended June 30, 2016 and 2015 was an expense of 19.8% and an expense of 154.6%, respectively. The three month and six months ended June 30, 2016 rate was calculated based on a full year forecast method. The quarterly tax rate differs from the federal statutory rate primarily due to interest income from tax-exempt lending, bank-owned life insurance income, and the relationship of these items to pre-tax income.

 

The tax rate for the three and six months ended June 30, 2016 is not comparable to the three and six months ended June 30, 2015 as the Company moved from recording income tax expense on a discrete quarter basis in 2015 to a full year forecast method in 2016. The three and six months ended June 30, 2015 included income from tax-exempt lending and bank-owned life insurance which exceeded the amount of pre-tax income and would have resulted in a net benefit, however, write-offs of deferred tax assets associated with stock based compensation forfeitures resulted in income tax expense for both periods of 2015. See management’s discussion and analysis for further information.