XML 53 R22.htm IDEA: XBRL DOCUMENT
v3.19.3.a.u2

Note 14: Income Taxes | 12 Months Ended
--- | ---
Dec. 31, 2019
Notes |
Note 14: Income Taxes | Note 14: Income Taxes The Company files a consolidated federal income tax return. As of December 31, 2019 and 2018, retained earnings included approximately $17.5 million for which no deferred income tax liability had been recognized. This amount represents an allocation of income to bad debt deductions for tax purposes only for tax years prior to 1988. If the Bank were to liquidate, the entire amount would have to be recaptured and would create income for tax purposes only, which would be subject to the then-current corporate income tax rate. The unrecorded deferred income tax liability on the above amount was approximately $3.9 million at both December 31, 2019 and 2018, respectively. During the years ended December 31, 2019, 2018 and 2017, the provision for income taxes included these components:
|  | 2019 |  |  | 2018 |  |  | 2017
|  | (In Thousands)
Taxes currently payable | $ | 15,375 |  | $ | 19,291 |  | $ | 9,335
Deferred income taxes |  | 1,074 |  |  | (4,450) |  |  | 11,528
Adjustment of deferred tax asset or liability for enacted changes in tax laws |  | — |  |  | — |  |  | (2,105)
Income taxes | $ | 16,449 |  | $ | 14,841 |  | $ | 18,758
The tax effects of temporary differences related to deferred taxes shown on the statements of financial condition were:
|  | December 31,
|  | 2019 |  |  | 2018
|  | (In Thousands)
Deferred tax assets |  |  |  |  |
Allowance for loan losses | $ | 9,188 |  | $ | 8,758
Interest on nonperforming loans |  | 161 |  |  | 320
Accrued expenses |  | 821 |  |  | 726
Write-down of foreclosed assets |  | 185 |  |  | 600
Write-down of fixed assets |  | 50 |  |  | 191
Partnership tax credits |  | 732 |  |  | —
Deferred income |  | 509 |  |  | —
Difference in basis for acquired assets and liabilities |  | 2,540 |  |  | 4,031
|  | 14,186 |  |  | 14,626
Deferred tax liabilities |  |  |  |  |
Tax depreciation in excess of book depreciation |  | (5,986) |  |  | (5,409)
FHLB stock dividends |  | (817) |  |  | (798)
Partnership tax credits |  | — |  |  | (404)
Prepaid expenses |  | (891) |  |  | (569)
Unrealized gain on available-for-sale securities |  | (2,671) |  |  | (83)
Unrealized gain on cash flow derivatives |  | (6,853) |  |  | (2,761)
Other |  | (233) |  |  | (113)
|  | (17,451) |  |  | (10,137)
Net deferred tax asset (liability) | $ | (3,265) |  | $ | 4,489
Reconciliations of the Company’s effective tax rates from continuing operations to the statutory corporate tax rates were as follows:
| 2019 |  |  | 2018 |  |  | 2017 |
Tax at statutory rate | 21.0 | % |  | 21.0 | % |  | 35.0 | %
Nontaxable interest and dividends | (0.5) |  |  | (0.8) |  |  | (1.6) |
Tax credits | (3.6) |  |  | (3.4) |  |  | (6.1) |
State taxes | 1.3 |  |  | 1.1 |  |  | 1.1 |
Initial impact of enactment of 2017 Tax Act | 0.0 |  |  | 0.0 |  |  | (0.4) |
Other | 0.1 |  |  | 0.2 |  |  | (1.3) |
| 18.3 | % |  | 18.1 | % |  | 26.7 | %
The Tax Cuts and Jobs Act (“TCJ Act”) was signed into law on December 22, 2017, making several changes to U. S. corporate income tax laws, including reducing the corporate Federal income tax rate from 35% to 21% effective for tax years beginning on or after January 1, 2018. U. S. GAAP requires that the impact of the provisions of the TCJ Act be accounted for in the period of enactment. The Company recognized the income tax effects of the TCJ Act in its 2017 financial statements. The TCJ Act is complex and required significant detailed analysis. During the preparation of the Company’s 2017 income tax returns in 2018, no additional adjustments related to enactment of the TCJ Act were identified. The Company and its consolidated subsidiaries have not been audited recently by the Internal Revenue Service (IRS), except as described here. The Company, through one of its subsidiaries, is a partner in two partnerships which were under IRS examination for 2006 and 2007. As a result, the Company’s 2006 and subsequent tax years remained open for examination. The examinations of these partnerships were completed during 2019. The completion of these examinations did not result in significant changes to the Company’s tax positions. As a result, federal tax years through December 31, 2015 are now closed. The Company is currently under State of Missouri income and franchise tax examinations for its 2014 and 2015 tax years. The Company does not currently expect significant adjustments to its financial statements from this state examination.

X
- References No definition available. + Details
Name: | us-gaap_DisclosureTextBlockAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -URI http://asc.fasb.org/topic&trid=2144680 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration