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INCOME TAXES (Tables)
12 Months Ended
Dec. 31, 2024
INCOME TAXES  
Schedule of deferred taxes included in other assets

Deferred taxes (or deferred charges) as of December 31, 2024 and 2023, included in other assets, were as follows (in thousands):

December 31, 

    

2024

2023

2023

As adjusted

As originally

Deferred tax assets:

reported

Allowance for credit losses

$

782

$

833

$

695

Employee benefit plans' liabilities

 

4,029

 

4,079

 

3,434

Unrealized loss on available for sale securities, charged from equity

 

9,286

 

9,909

 

8,341

Loss on credit impairment of securities

 

423

 

423

 

356

Earned retiree health benefits plan liability

 

1,222

 

1,276

 

1,074

General business and AMT credits

 

1

 

1,033

 

210

State income tax net operating loss carryforward

930

1,111

Other

 

218

 

279

 

344

Valuation allowance

 

(423)

 

(15,617)

 

(11,534)

Deferred tax assets

 

16,468

 

3,326

 

2,920

Deferred tax liabilities:

 

  

 

  

 

  

Unearned retiree health benefits plan asset

 

460

 

469

 

395

Bank premises and equipment

 

2,106

 

2,088

 

1,759

Other

 

 

13

 

10

Deferred tax liabilities

 

2,566

 

2,570

 

2,164

Net deferred taxes

$

13,902

$

756

$

756

Schedule of components of income taxes

Income taxes consist of the following components (in thousands):

Years Ended December 31, 

    

2024

    

2023

    

2022

Current

$

437

$

410

$

15

Deferred:

 

  

 

  

 

  

Federal

 

1,434

 

 

1,188

Change in valuation allowance

 

(15,194)

 

1,711

 

(3,634)

Total deferred

 

(13,760)

 

1,711

 

(2,446)

Totals

$

(13,323)

$

2,121

$

(2,431)

Schedule of effective income tax rate reconciliation

Income taxes amounted to less than the amounts computed by applying the U.S. Federal income tax rate of 21.0% for 2024, 2023 and 2022 to income before income taxes and State income tax rate of 3.95% for 2024. The reasons for these differences are shown below (in thousands):

    

2024

    

2023

    

2022

    

Tax

Rate

Tax

Rate

Tax

Rate

 

Taxes computed at statutory rate

$

1,760

 

21

%  

$

2,370

 

21

%  

$

1,367

 

21

%

Increase (decrease) resulting from:

 

State income tax expense, net of federal effect

224

2.7

Tax-exempt interest income

 

(176)

 

(2.1)

 

(191)

 

(2)

 

(198)

 

(3)

Income from BOLI

(112)

 

(1.3)

 

(102)

 

(1)

 

(93)

 

(1)

Tefra disallowance

79

 

0.9

Federal tax credits

 

 

(1,416)

 

(12)

 

(45)

 

(1)

Other

 

96

 

1.1

 

(251)

 

(2)

 

172

 

2

Other changes in valuation allowance

 

(15,194)

 

(181.3)

 

1,711

 

15

 

(3,634)

 

(55)

Total income tax (benefit) expense

$

(13,323)

 

(159.0)

%  

$

2,121

 

19

%  

$

(2,431)

 

(37)

%