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Federal Income Taxes
 12 Months Ended
Dec. 31, 2022
Income Tax Disclosure [Abstract]  
Federal Income Taxes Federal Income TaxesComponents of the consolidated provision for federal income taxes are summarized as follows for the years ended December 31:
202220212020
Currently payable$4,593 $4,371 $1,263 
Deferred expense (benefit)13 (523)(276)
Income tax expense$4,606 $3,848 $987 
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:
202220212020
Income taxes at statutory rate$5,637 $4,903 $2,493 
Effect of nontaxable income
Interest income on tax exempt municipal securities(587)(643)(802)
Earnings on corporate owned life insurance policies(197)(225)(346)
Other329 312 288 
Total effect of nontaxable income(455)(556)(860)
Effect of nondeductible expenses45 46 68 
Effect of tax credits(621)(617)(830)
Unrecognized deferred tax benefit on joint venture investment— 72 116 
Federal income tax expense$4,606 $3,848 $987 
The losses recognized for December 31, 2021 and 2020 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, 2022, 2021 and 2020 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:
20222021
Deferred tax assets
Allowance for loan losses$1,848 $1,635 
Deferred compensation1,648 1,553 
Employee benefit plans82 98 
Core deposit premium and acquisition expenses764 759 
Net unrealized losses on AFS securities9,296 — 
Net unrecognized actuarial losses on pension plan363 536 
Life insurance death benefit payable497 497 
Other789 867 
Total deferred tax assets15,287 5,945 
Deferred tax liabilities
Prepaid pension cost297 309 
Premises and equipment1,590 1,729 
Accretion on securities166 61 
Core deposit premium and acquisition expenses984 947 
Net unrealized gains on AFS securities— 1,018 
Other1,075 834 
Total deferred tax liabilities4,112 4,898 
Net deferred tax assets (liabilities)$11,175 $1,047 
While we are subject to U.S. federal income tax, we are no longer subject to examination by taxing authorities for years before 2019. 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, 2022 and 2021 and we are not aware of any claims for such amounts by federal income tax authorities.