Income Taxes (Tables)

12 Months Ended

Dec. 31, 2020

Income Taxes

Schedule of Provision for income taxes

	2020			2019
Currently paid or payable	$	2,518,516		$	1,693,624
Deferred (benefit) expense		(270,427	)		96,236
Total income tax expense (1)	$	2,248,089		$	1,789,860

Schedule of federal income tax

	2020			2019
Computed expense at statutory rates	$	2,731,384		$	2,236,904
Tax exempt interest and BOLI		(309,102	)		(306,073	)
Disallowed interest		12,917			15,798
Partnership rehabilitation and tax credits		(433,970	)		(415,099	)
Low income housing investment amortization expense		265,982			246,564
Other		(19,122	)		11,766
	$	2,248,089		$	1,789,860

Schedule of deferred income tax (benefit) expense

	2020			2019
Depreciation	$	10,368		$	126,734
Mortgage servicing rights		(3,661	)		(13,728	)
Deferred compensation		3,722			3,701
Bad debts		(269,219	)		(68,029	)
Limited partnership amortization		(39,430	)		60,588
Investment in CFSG Partners		13,408			(3,323	)
Loan fair value		0			(6,171	)
Prepaid expenses		11,072			(10,741	)
Other		3,313			7,205
Change in deferred tax (benefit) expense	$	(270,427)		$	96,236

Schedule of significant components of the net deferred tax asset

	2020		2019
Components of the deferred tax asset:
Bad debts	$	1,513,782	$	1,244,563
Deferred compensation		9,176		12,898
Contingent liability - MPF program		17,838		17,838
Finance lease		7,101		11,930
Other		20,814		16,346
Total deferred tax asset		1,568,711		1,303,575
Components of the deferred tax liability:
Depreciation		394,564		384,197
Limited partnerships		37,565		76,995
Mortgage servicing rights		193,650		197,311
Unrealized gain on debt securities AFS		243,321		69,242
Investment in CFS Partners		84,462		71,054
Operating lease		3,178		226
Prepaid expenses		79,810		68,738
Total deferred tax liability		1,036,550		867,763
Net deferred tax asset	$	532,161	$	435,812