INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2019

INCOME TAXES

Schedule of components of income tax expense

	Years Ended December 31,
(Dollars in thousands)	2019		2018		2017
Current tax provision:
Federal	$	11,028	$	12,210	$	15,781
State		4,034		2,102		2,506
Total current tax provision		15,062		14,312		18,287
Deferred tax provision:
Federal		793		308		(56)
Deferred tax adjustment for enacted change in Federal tax rate		—		—		(176)
State		295		47		98
Total deferred tax provision (benefit)		1,088		355		(134)
Total provision for income taxes	$	16,150	$	14,667	$	18,153

Schedule of reconciliation of the recorded provision for income taxes to amount of statutory Federal income tax rate

	Years Ended December 31,
	2019				2018				2017
(Dollars in thousands)	Amount		%		Amount		%		Amount		%
Federal statutory tax rate	$	12,782	21.0	%	$	11,775	21.0	%	$	17,517	35.0	%
Differences resulting from:
State income taxes, net of federal benefit		3,420	5.6			1,660	3.0			1,139	2.3
Permanent book to tax differences		(135)	(0.2)			—	—			—	—
Deferred tax writedown for enacted tax rate changes		—	—			—	—			(176)	(0.3)
Other items, net		83	0.1			1,232	2.2			(327)	(0.7)
Provision for income taxes	$	16,150	26.5	%	$	14,667	26.2	%	$	18,153	36.3	%

Schedule of deferred tax assets and liabilities

	December 31,
(Dollars in thousands)	2019		2018
Deferred tax assets:
Allowance for loan losses	$	1,919	$	1,692
Nonaccrual interest		221		175
Deferred loan fees		119		—
Lease liabilities under operating leases		3,501		—
Unrealized losses on securities available for sale		1		46
Other		277		—
Total gross deferred tax assets		6,038		1,913
Deferred tax liabilities:
Deferred mortgage servicing fees		(2,535)		(1,389)
Deferred SBA servicing fees		(2,206)		(2,069)
Premises and equipment		(599)		(368)
Right-of-use assets under operating leases		(3,355)		—
Other		(254)		(16)
Total gross deferred tax liabilities		(8,949)		(3,842)
Net deferred tax liabilities	$	(2,911)	$	(1,929)