Note 6 - INCOME TAXES (Tables)

9 Months Ended

Sep. 30, 2024

INCOME TAXES

Schedule of federal and state income tax expense

	For the Three Months Ended September 30,								For the Nine Months Ended September 30,
	2024				2023				2024				2023
			% of				% of				% of				% of
			Pretax				Pretax				Pretax				Pretax
	Amount		Income		Amount		Income		Amount		Income		Amount		Income
	(dollars in thousands)								(dollars in thousands)
Computed "expected" tax expense	$	6,264	21.0	%	$	5,661	21.0	%	$	18,773	21.0	%	$	18,751	21.0	%
Tax exempt income, net		(4,204)	(14.1)			(3,705)	(13.7)			(11,965)	(13.4)			(10,103)	(11.3)
Bank-owned life insurance		(171)	(0.6)			(376)	(1.4)			(975)	(1.1)			(700)	(0.8)
State income taxes, net of federal benefit, current year		1,084	3.6			955	3.5			3,186	3.6			3,383	3.8
Tax credits		(26)	(0.1)			(202)	(0.7)			(77)	(0.1)			(411)	(0.5)
Income from tax credit equity investments		(546)	(1.8)			(449)	(1.7)			(1,639)	(1.8)			(1,340)	(1.5)
Excess tax benefit on stock options exercised and restricted stock awards vested		(310)	(1.0)			(7)	—			(834)	(0.9)			(451)	(0.5)
Other		(46)	(0.1)			(37)	(0.2)			(698)	(0.8)			(540)	(0.6)
Federal and state income tax expense	$	2,045	6.9	%	$	1,840	6.8	%	$	5,771	6.5	%	$	8,589	9.6	%

Schedule of consolidated statements of operations

	For the Three Months Ended						For the Nine Months Ended
	September 30, 2024		June 30, 2024		September 30, 2023		September 30, 2024		September 30, 2023
	(dollars in thousands)						(dollars in thousands)
Tax credits recognized	$	2,159	$	2,115	$	1,462	$	6,478	$	4,366
Other tax benefits recognized		671		613		515		2,013		1,537
Amortization		(2,076)		(2,092)		(1,203)		(6,229)		(3,783)
Net benefit included in income tax		754		636		774		2,262		2,120
Other income		—		—		—		—		—
Allocated income on investments		—		—		—		—		—
Net benefit included in noninterest income		—		—		—		—		—
Net benefit included in the Consolidated Statements of Operations	$	754	$	636	$	774	$	2,262	$	2,120