Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

Income Tax Disclosure [Abstract]

Schedule of Components of Income Tax Expense

Components of income tax expense for 2019, 2018, and 2017 are as follows:

	2019			2018		2017
Current expense	$	1,201,933		$	28,779	$	1,101,902
Deferred taxes (benefit)		(55,347	)		639,637		517,998
Total income taxes	$	1,146,586		$	668,416	$	1,619,900

Schedule of Income Taxes

The reasons for the difference between the federal income taxes in the consolidated statements of income and the amount and percentage computed by the applying the combine statutory federal and state income tax rate to income taxes are as follows:

	2019						2018						2017
	Amount			%			Amount			%			Amount			%
Taxes at statutory income tax rate	$	1,351,733			21.0		$	1,116,262			21.0		$	1,845,313			34.0
Reductions in taxes resulting from exempt income		(209,892	)		(3.3	)		(272,486	)		(5.1	)		(524,347	)		(9.7	)
Other timing differences		4,745			0.1			(175,360	)		(3.3	)		298,934			5.5
Total income taxes	$	1,146,586			17.8		$	668,416			12.6		$	1,619,900			29.8

Schedule of Effective Income Tax Rate Reconciliation

The sources of timing differences for tax reporting purposes and the related deferred taxes recognized in 2019, 2018, and 2017 are summarized as follows:

	2019			2018			2017
Intangible asset amortization	$	0		$	0		$	172,816
Deferred gain on covered transaction		(1,115	)		5,004			9,352
Nonaccrual loan interest		155			8,369			(6,896	)
Recognition of AMT tax credit carryforward		0			332,776			0
Foreclosed assets expenses		4,760			41,530			(42,075	)
Bad debt expense in excess of tax		(36,850	)		(80,902	)		423,203
Accretion of discounted bonds		10,546			16,805			14,772
Gain on disposition of discounted bonds		0			(4,188	)		(28,215	)
Book and tax depreciation difference		(43,664	)		357,266			(24,959	)
Other timing differences		10,821			(37,023	)		0
Total deferred taxes	$	(55,347	)	$	639,637		$	517,998

Schedule of Deferred Tax Assets and Liabilities

	December 31
	2019		2018
Deferred tax assets:
Nonaccrual loan interest	$	319	$	474
Deferred gain on covered transaction		10,415		9,300
Foreclosed assets expenses		5,403		10,163
Intangible asset amortization		125,883		125,883
Bad debt expense in excess of tax		756,913		720,063
Realized loss on other-than-temporarily impaired equity securities		214,353		214,353
Deferred directors compensation		122,235		133,057
Capital loss carryforward		32,878		32,878
Pension plan		154,879		443,698
Unrealized losses on securities available for sale		0		137,761
Total deferred tax assets		1,423,278		1,827,630
Deferred tax liabilities:
Accretion on bonds and gain on discounted bonds		78,853		68,307
Book and tax depreciation difference		532,235		575,899
Unrealized gains on securities available for sale		302,004		0
Total deferred tax liabilities		913,092		644,206
Net deferred tax assets	$	510,186	$	1,183,424