Income Taxes (Tables)

12 Months Ended

Dec. 31, 2017

Income Tax Disclosure [Abstract]

Schedule of Provisions for Income Tax

The Corporation and the Bank file a consolidated federal income tax return. The provision for income taxes for the years ended December 31 is comprised of the following:

(Dollar amounts in thousands)	2017		2016
Current	$	1,423	$	1,045
Deferred	691		203
	$	2,114	$	1,248

Schedule of Effective Income Tax Rate Reconciliation

A reconciliation between the provision for income taxes and the amount computed by multiplying operating results before income taxes by the statutory federal income tax rate of 34% for the years ended December 31 is as follows:

(Dollar amounts in thousands)	2017					2016
				% Pre-tax					% Pre-tax
	Amount			Income		Amount			Income
Provision at statutory tax rate	$	2,173		34.0	%	$	1,779		34.0	%
Increase (decrease) resulting from:
Tax free gain on bargain purchase	(447		)	(7.0	)%	—			—	%
Tax free interest, net of disallowance	(446		)	(7.0	)%	(472		)	(9.0	)%
Earnings on bank-owned life insurance	(113		)	(1.8	)%	(113		)	(2.2	)%
Federal tax rate change	827			12.9	%	—			—	%
Other, net	120			2.0	%	54			1.0	%
Provision	$	2,114		33.1	%	$	1,248		23.8	%

Schedule of Deferred Tax Assets and Liabilities

The tax effects of temporary differences between the financial reporting basis and income tax basis of assets and liabilities that are included in the net deferred tax asset as of December 31 relate to the following:

(Dollar amounts in thousands)	2017		2016
Deferred tax assets:
Allowance for loan losses	$	1,287	$	1,885
Funded status of pension plan	1,286		1,964
Deferred compensation	272		414
Securities impairment	199		149
Net unrealized loss on securities	180		349
Accrued incentive compensation	136		158
Stock compensation	77		160
Nonaccrual loan interest income	53		73
Business combination adjustments	38		89
Net operating loss carryforward	—		106
Other	35		29
Gross deferred tax assets	3,563		5,376
Deferred tax liabilities:
Accrued pension liability	939		1,525
Depreciation	652		1,006
Deferred loan fees and costs	307		431
Intangible assets	204		324
Other	52		60
Gross deferred tax liabilities	2,154		3,346
Net deferred tax asset	$	1,409	$	2,030