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Federal Income Taxes
 12 Months Ended
Dec. 31, 2021
Income Tax Disclosure [Abstract]  
Federal Income Taxes Federal Income Taxes
Components of the consolidated provision for federal income taxes are summarized as follows for the years ended December 31:
202120202019
Currently payable$4,371 $1,263 $972 
Deferred expense (benefit)(523)(276)408 
Income tax expense$3,848 $987 $1,380 

The reconciliation of the provision for federal income taxes and the amount computed at the federal statutory tax rate of 21% of income before federal income tax expense is as follows for the year ended December 31:
202120202019
Income taxes at statutory rate$4,903 $2,493 $3,025 
Effect of nontaxable income
Interest income on tax exempt municipal securities(643)(802)(990)
Earnings on corporate owned life insurance policies(225)(346)(160)
Other312 288 283 
Total effect of nontaxable income(556)(860)(867)
Effect of nondeductible expenses46 68 108 
Effect of tax credits(617)(830)(984)
Unrecognized deferred tax benefit on joint venture investment72 116 98 
Federal income tax expense$3,848 $987 $1,380 
The losses recognized for December 31, 2021, 2020 and 2019 related to our joint venture investment in CSS, which was sold during the fourth quarter of 2020. The sale of this investment resulted in a capital loss carryforward that is unlikely to be recognized in the foreseeable future. As such, we did not recognize a deferred tax asset as of December 31, 2021, 2020 and 2019 related to our investment and capital loss in CSS.
Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for federal income tax purposes. Significant components of our deferred tax assets and liabilities, measured at the 21% statutory rate, included in other assets and other liabilities on our consolidated balance sheets, are summarized as follows as of December 31:
20212020
Deferred tax assets
Allowance for loan losses$1,635 $1,724 
Deferred compensation1,553 1,475 
Employee benefit plans98 59 
Core deposit premium and acquisition expenses759 751 
Net unrecognized actuarial losses on pension plan536 729 
Net unrealized gains on derivative instruments— 11 
Life insurance death benefit payable497 497 
Other867 890 
Total deferred tax assets5,945 6,136 
Deferred tax liabilities
Prepaid pension cost309 290 
Premises and equipment1,729 2,196 
Accretion on securities61 36 
Core deposit premium and acquisition expenses947 910 
Net unrealized gains on available-for-sale securities1,018 2,777 
Other834 956 
Total deferred tax liabilities4,898 7,165 
Net deferred tax assets (liabilities)$1,047 $(1,029)
While we are subject to U.S. federal income tax, we are no longer subject to examination by taxing authorities for years before 2018. There are no material uncertain tax positions requiring recognition in our consolidated financial statements. We do not expect the total amount of unrecognized tax benefits to significantly increase in the next twelve months.
We recognize interest and/or penalties related to income tax matters in income tax expense. We do not have any amounts accrued for interest and penalties at December 31, 2021 and 2020 and we are not aware of any claims for such amounts by federal income tax authorities.