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Income Taxes (Tables) | 12 Months Ended
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Dec. 31, 2021
Income Tax Disclosure [Abstract] |
Summary of Income Tax Expense | The following table presents the components of income taxes expense (benefit) for the years ended December 31, 2021, 2020 and 2019:
|  | Year Ended December 31,
($ in thousands) |  | 2021 |  | 2020 |  | 2019
Current income tax expense: |  |  |  |  |  |
Federal |  | $ | 9,243 |  |  | $ | 4,837 |  |  | $ | 3,162 |
State |  | 4,885 |  |  | 2,596 |  |  | 1,983 |
Total current income tax expense |  | 14,128 |  |  | 7,433 |  |  | 5,145 |
Deferred income tax (benefit) expense: |  |  |  |  |  |
Federal |  | (1,614) |  |  | (1,516) |  |  | 228 |
State |  | (698) |  |  | (810) |  |  | (54) |
Total deferred income tax (benefit) expense |  | (2,312) |  |  | (2,326) |  |  | 174 |
Total income tax expense |  | $ | 11,816 |  |  | $ | 5,107 |  |  | $ | 5,319 |
Summary of Effective Tax Rates Differ from Federal Statutory Rates | The following table presents a reconciliation of the applicable statutory U.S. federal income tax rate to the effective tax rate for the periods indicated:
|  | Year Ended December 31,
| 2021 |  | 2020 |  | 2019
Federal statutory income tax rate |  | 21.0 | % |  | 21.0 | % |  | 21.0 | %
Increase (decrease) in tax rate resulting from: |  |  |  |  |  |
Meals and entertainment |  | — | % |  | 0.2 | % |  | 0.2 | %
State income taxes, net of federal tax benefit |  | 8.5 | % |  | 8.3 | % |  | 7.3 | %
Stock option expense and related excess tax benefits |  | 0.1 | % |  | (0.7) | % |  | (1.9) | %
Company owned life insurance |  | (0.1) | % |  | (0.3) | % |  | (1.4) | %
Other, net |  | (0.4) | % |  | (0.5) | % |  | (1.0) | %
Effective tax rate |  | 29.1 | % |  | 28.0 | % |  | 24.2 | %
Summary of Net Deferred Tax Assets Included in Statement of Financial Position | The significant components of deferred tax assets and liabilities are reflected in the following table:
|  | December 31,
($ in thousands) |  | 2021 |  | 2020
Deferred tax assets: |  |  |  |
Organizational costs |  | $ | 22 |  |  | $ | 25 |
Allowance for loan losses |  | 4,827 |  |  | 4,717 |
Loans held for sale |  | 2,919 |  |  | 695 |
Stock-based compensation |  | 211 |  |  | 515 |
Accrued compensation |  | 238 |  |  | 181 |
Lease liability |  | 3,047 |  |  | 2,492 |
State taxes |  | 1,059 |  |  | 586 |
Net unrealized loss on AFS debt securities |  | 503 |  |  | — |
Nonaccrual loan interest income |  | 62 |  |  | 7 |
Other |  | 49 |  |  | 23 |
Total deferred tax assets |  | 12,937 |  |  | 9,241 |
Deferred tax liabilities: |  |  |  |
Loan origination costs |  | (1,477) |  |  | (1,110) |
Depreciation |  | (379) |  |  | (487) |
Right of use asset |  | (2,633) |  |  | (2,006) |
Net unrealized gain on AFS debt securities |  | — |  |  | (352) |
Other |  | (39) |  |  | (44) |
Total deferred tax liabilities |  | (4,528) |  |  | (3,999) |
Net deferred tax asset |  | $ | 8,409 |  |  | $ | 5,242 |

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- Definition Tabular disclosure of the components of income tax expense attributable to continuing operations for each year presented including, but not limited to: current tax expense (benefit), deferred tax expense (benefit), investment tax credits, government grants, the benefits of operating loss carryforwards, tax expense that results from allocating certain tax benefits either directly to contributed capital or to reduce goodwill or other noncurrent intangible assets of an acquired entity, adjustments of a deferred tax liability or asset for enacted changes in tax laws or rates or a change in the tax status of the entity, and adjustments of the beginning-of-the-year balances of a valuation allowance because of a change in circumstances that causes a change in judgment about the realizability of the related deferred tax asset in future years. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32639-109319 + Details
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- Definition Tabular disclosure of the components of net deferred tax asset or liability recognized in an entity's statement of financial position, including the following: the total of all deferred tax liabilities, the total of all deferred tax assets, the total valuation allowance recognized for deferred tax assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32537-109319 + Details
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