Income Taxes (Tables)

12 Months Ended

Jun. 30, 2023

Income Taxes

Schedule of components of net deferred tax assets

(dollars in thousands)	June 30, 2023		June 30, 2022
Deferred tax assets:
Provision for losses on loans	$	12,101	$	7,761
Accrued compensation and benefits		974		828
NOL carry forwards acquired		709		57
Low income tax credit carry forward		1,192		—
Unrealized loss on other real estate		818		72
Unrealized loss on available for sale securities		6,174		4,921
Total deferred tax assets		21,968		13,639
Deferred tax liabilities:
Purchase accounting adjustments		2,348		224
Depreciation		4,276		1,974
FHLB stock dividends		120		120
Prepaid expenses		728		415
Other		1,636		181
Total deferred tax liabilities		9,108		2,914
Net deferred tax asset	$	12,860	$	10,725

Schedule of reconciliation of income tax expense at the statutory rate

	For the year ended June 30
(dollars in thousands)	2023		2022		2021
Tax at statutory rate	$	10,387	$	12,580	$	12,538
Increase (reduction) in taxes resulting from:
Nontaxable municipal income		(327)		(349)		(453)
State tax, net of Federal benefit		46		812		1,018
Cash surrender value of Bank-owned life insurance		(318)		(245)		(378)
Tax credit benefits		(19)		(45)		(11)
Other, net		457		(18)		(189)
Actual provision	$	10,226	$	12,735	$	12,525