Income Taxes Income Taxes

3 Months Ended

Mar. 31, 2018

Income Tax Disclosure [Abstract]

Income Tax Disclosure [Text Block]

INCOME TAXES

Our income tax expense (benefit) for the three months ended March 31, 2018 and March 31, 2017 totaled $1.9 million and $(1.4) million, respectively. Our effective tax rate (income tax expense as a percentage of income before taxes) for the quarters ended March 31, 2018 and 2017 was 20.2% and 47.1%, respectively. A reconciliation between the statutory income tax rate and our effective income tax rate for the three and nine months ended March 31, 2018 and 2017 is as follows:

	For the Three Months Ended March 31,
	2018		2017
Dollars in thousands	Percent		Percent
Applicable statutory rate	21.0	%	35.0	%
Increase (decrease) in rate resulting from:
Tax-exempt interest and dividends, net	(2.6	)%	9.6	%
State income taxes (benefit), net of Federal income tax benefit	2.2	%	2.6	%
Low-income housing and rehabilitation tax credits	(1.0	)%	—	%
Other, net	0.6	%	(0.1	)%
Effective income tax rate	20.2	%	47.1	%

The components of applicable income tax expense for the three months ended March 31, 2018 and 2017 are as follows:

	For the Three Months Ended March 31,
Dollars in thousands	2018			2017
Current
Federal	$	1,753		$	2,178
State	278			189
	2,031			2,367
Deferred
Federal	(134		)	(3,498		)
State	(21		)	(310		)
	(155		)	(3,808		)
Total	$	1,876		$	(1,441	)

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