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Income Taxes
 12 Months Ended
Dec. 31, 2023
Income Tax Disclosure [Abstract]  
Income Taxes INCOME TAXES
The current and deferred components of income tax expense on the consolidated statements of income were as follows:
For the Year Ended
December 31,
(In thousands)202320222021
Current:  
Federal$7,990 $12,334 $16,555 
State1,156 1,489 1,709 
Total9,146 13,823 18,264 
Deferred:  
Federal1,277 1,743 (622)
State30 42 (15)
Total1,307 1,785 (637)
Income tax expense$10,453 $15,608 $17,627 

The income tax expense differs from the amount computed by applying the statutory federal income tax rate of 21.0% as a result of the following:
For the Year Ended
December 31,
(Dollars in thousands)202220222021
Computed tax expense$11,306 $16,180 $18,195 
Increase (reduction) in income taxes resulting from:
State taxes, net of federal benefit937 1,209 1,338 
Low income housing credits(831)(846)(591)
Tax exempt income(647)(732)(782)
Income from life insurance(493)(399)(496)
Share-based awards69 (100)(103)
Other112 296 66 
Income tax expense$10,453 $15,608 $17,627 
Income before income tax expense$53,836 $77,047 $86,641 
Effective tax rate19.4 %20.3 %20.3 %
Temporary differences between the financial statements carrying amounts and the tax bases of assets and liabilities gave rise to the following deferred tax assets and liabilities as of the dates indicated:
December 31,
20232022
(In thousands)AssetLiabilityAssetLiability
Net unrealized losses on AFS debt securities$29,418 $— $36,027 $— 
Allowance for credit losses 8,447 — 8,640 — 
Net operating loss and tax credit carryforward7,084 — 7,913 — 
Pension and other benefits4,656 — 4,536 — 
Deferred compensation and benefits1,033 — 892 — 
Deferred loan origination fees— (3,235)— (3,253)
Depreciation— (2,359)— (2,536)
Net unrealized (gains) losses on derivative instruments— (1,670)— (1,613)
Other— (1,148)— (389)
Gross deferred tax assets (liabilities)$50,638 $(8,412)$58,008 $(7,791)
Valuation allowance on deferred tax assets— — 
Net deferred tax assets$42,226 $50,217 

At December 31, 2023 and 2022, the Company had $32.8 million and $36.7 million, respectively, in unused federal net operating losses that were acquired in 2015. Due to Internal Revenue Code Section 382(g) limitations, the Company's use of the federal net operating losses acquired is limited to $3.9 million annually, which was determined using the applicable federal rate and the fair value of consideration paid for the acquisition at the acquisition date. The acquired federal net operating losses will expire between 2030 and 2034. The Company expects that it will be able to fully utilize the acquired allowable federal net operating losses prior to expiration, as the Company has a history of generating taxable income well in excess of the limitation.

The Company continuously monitors and assesses the need for a valuation allowance on its deferred tax assets and, at December 31, 2023 and 2022 determined that no valuation allowance was necessary.

As of December 31, 2023, the Company's federal and state income tax returns for the years ended December 31, 2022, 2021 and 2020 were open to audit by federal and state authorities.