LOW INCOME HOUSING PROJECT INVESTMENTS Low Income Housing Project Investments

12 Months Ended

Dec. 31, 2015

Low Income Housing Project Investments [Abstract]

Investments in Low Income Housing Projects [Text Block]

LOW INCOME HOUSING PROJECT INVESTMENTS

The Company has invested in low income housing projects that generate Low Income Housing Tax Credits (“LIHTC”) which provide the Company with tax credits and operating loss tax benefits over a period of approximately 15 years. None of the original investment is expected to be repaid. The investment in LIHTC projects is being accounted for using the proportional amortization method, under which the Company amortizes the initial cost of the investment in proportion to the amount of the tax credits and other tax benefits received and recognizes the net investment benefit in the income statement as a component of income tax expense (benefit).

The following table presents certain information related to the Company's investments in low income housing projects as of December 31:

	2015		2014
	(Dollars in thousands)
Original investment value	$	42,199	$	40,541
Current recorded investment	$	38,151	$	38,943
Unfunded liability obligation	$	14,607	$	28,004
Tax credits and benefits earned during the year	$	3,632	$	1,683
Amortization of investments during the year	$	2,450	$	1,089
Net income tax benefit recognized during the year	$	1,182	$	594