Income Taxes

6 Months Ended

Dec. 31, 2012

Income Taxes

Note 10: Income Taxes

A reconciliation of income tax expense (benefit) at the statutory rate to the Company’s actual income tax expense (benefit) is shown below:

	Three Months Ended December 31,						Six Months Ended December 31,
	2012			2011			2012			2011
Computed at the statutory rate (34%)	$	363		$	550		$	969		$	(235	)
Decrease resulting from
Tax exempt interest		(4	)		(14	)		(9	)		(27	)
Cash surrender value of life insurance		(23	)		(23	)		(45	)		(45	)
State income taxes		53			52			174			(22	)
Other		(29	)		31			(82	)		(10	)
Actual expense (benefit)	$	360		$	596		$	1,007		$	(339	)

The Company established a charitable foundation at the time of its mutual-to-stock conversion and donated to it shares of common stock equal to 7% of the shares sold in the offering, or 314,755 shares. The donated shares were valued at $3,147,550 ($10.00 per share) at the time of conversion. The Association also contributed $450,000 in cash to the Foundation. The $3,147,550 and the $450,000 cash donation, or a total of $3,597,550 was expensed during the six month period ended December 31, 2011. The Company established a deferred tax asset associated with this charitable contribution. No valuation allowance was deemed necessary as it appears the Company will be able to deduct the contribution, which is subject to limitations each year, during the initial year ended June 30, 2012 and the five year carry forward period.