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Income Taxes Income Taxes
 9 Months Ended
Sep. 30, 2017
Income Tax Disclosure [Abstract]  
Income Tax Disclosure [Text Block]
NOTE 18. INCOME TAXES

Our income tax expense for the three months ended September 30, 2017 and September 30, 2016 totaled $2.5 million and $2.1 million, respectively. For the nine months ended September 30, 2017 and September 30, 2016 our income tax expense totaled $3.3 million and $5.7 million, respectively. Our effective tax rate (income tax expense as a percentage of income before taxes) for the quarters ended September 30, 2017 and 2016 was 29.5% and 32.8%, respectively, and for the nine months ended September 30, 2017 and 2016 were 25.8% and 31.0%, respectively. A reconciliation between the statutory income tax rate and our effective income tax rate for the three and nine months ended September 30, 2017 and 2016 is as follows:
 
For the Three Months Ended September 30,
 
For the Nine Months Ended September 30,
 
2017
 
2016
 
2017
 
2016
Dollars in thousands
Percent
 
Percent
 
Percent
 
Percent
Applicable statutory rate
35.0
 %
 
35.0
 %
 
35.0
 %
 
35.0
 %
Increase (decrease) in rate resulting from:
 
 
 
 
 
 
 
Tax-exempt interest and dividends, net
(5.1
)%
 
(4.2
)%
 
(8.8
)%
 
(4.4
)%
State income taxes (benefit), net of Federal income tax benefit
1.8
 %
 
1.7
 %
 
1.8
 %
 
1.6
 %
Other, net
(2.2
)%
 
0.3
 %
 
(2.2
)%
 
(1.2
)%
Effective income tax rate
29.5
 %
 
32.8
 %
 
25.8
 %
 
31.0
 %


The components of applicable income tax expense for the three and nine months ended September 30, 2017 and 2016 are as follows:
 
For the Three Months Ended September 30,
 
For the Nine Months Ended September 30,
Dollars in thousands
2017
2016
 
2017
2016
Current
 
 
 
 
 
Federal
$
2,436

$
1,992

 
$
3,315

$
5,439

State
251

171

 
388

451

 
2,687

2,163

 
3,703

5,890

Deferred
 

 
 
 

 

Federal
(190
)
(76
)
 
(333
)
(234
)
State
(17
)
(1
)
 
(31
)
(1
)
 
(207
)
(77
)
 
(364
)
(235
)
Total
$
2,480

$
2,086

 
$
3,339

$
5,655