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Income Taxes (Tables) | 12 Months Ended
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Dec. 31, 2020
Income Tax Disclosure [Abstract] |
Schedule of Significant Components of Provision for Income Taxes Attributable to Continuing Operations | The following table presents significant components of the provision for income taxes attributable to continuing operations for the years ended December 31, 2020, 2019 and 2018. Table 15.1: Significant Components of the Provision for Income Taxes Attributable to Continuing Operations
|  | Year Ended December 31,
(Dollars in millions) |  | 2020 |  | 2019 |  | 2018
Current income tax provision: |  |  |  |  |  |
Federal taxes |  | $ | 1,676 |  |  | $ | 1,207 |  |  | $ | 210 |
State taxes |  | 370 |  |  | 301 |  |  | 234 |
International taxes |  | 67 |  |  | 129 |  |  | 135 |
Total current provision |  | $ | 2,113 |  |  | $ | 1,637 |  |  | $ | 579 |
Deferred income tax provision (benefit): |  |  |  |  |  |
Federal taxes |  | $ | (1,357) |  |  | $ | (222) |  |  | $ | 620 |
State taxes |  | (266) |  |  | (45) |  |  | 115 |
International taxes |  | (4) |  |  | (29) |  |  | (21) |
Total deferred provision (benefit) |  | (1,627) |  |  | (296) |  |  | 714 |
Total income tax provision |  | $ | 486 |  |  | $ | 1,341 |  |  | $ | 1,293 |
Schedule of Effective Income Tax Rate | The following table presents the reconciliation of the U.S. federal statutory income tax rate to the effective income tax rate applicable to income from continuing operations for the years ended December 31, 2020, 2019 and 2018. Table 15.2: Effective Income Tax Rate
|  | Year Ended December 31,
|  | 2020 |  | 2019 |  | 2018
Income tax at U.S. federal statutory tax rate |  | 21.0 | % |  | 21.0 | % |  | 21.0 | %
State taxes, net of federal benefit |  | 3.5 |  |  | 3.1 |  |  | 3.2 |
Non-deductible expenses |  | 3.2 |  |  | 1.6 |  |  | 2.2 |
Affordable housing, new markets and other tax credits |  | (11.4) |  |  | (5.2) |  |  | (4.0) |
Tax-exempt interest and other nontaxable income |  | (1.7) |  |  | (0.8) |  |  | (0.7) |
IRS method changes |  | 0.0 |  |  | 0.0 |  |  | (3.9) |
Changes in valuation allowance |  | 2.3 |  |  | (0.3) |  |  | 0.3 |
Other, net |  | (1.7) |  |  | 0.1 |  |  | (0.4) |
Effective income tax rate |  | 15.2 | % |  | 19.5 | % |  | 17.7 | %
Schedule of Significant Components of Deferred Tax Assets and Liabilities | The following table presents significant components of our deferred tax assets and liabilities as of December 31, 2020 and 2019. The valuation allowance below represents the adjustment of our foreign tax credit carryforward, certain state deferred tax assets and net operating loss carryforwards to the amount we have determined is more likely than not to be realized. Table 15.3: Significant Components of Deferred Tax Assets and Liabilities
(Dollars in millions) |  | December 31, 2020 |  | December 31, 2019
Deferred tax assets: |  |  |  |
Allowance for credit losses |  | $ | 3,649 |  |  | $ | 1,729 |
Rewards programs |  | 711 |  |  | 579 |
Lease liabilities |  | 396 |  |  | 407 |
Net operating loss and tax credit carryforwards |  | 314 |  |  | 284 |
Compensation and employee benefits |  | 306 |  |  | 301 |
Partnership investments |  | 237 |  |  | 202 |
Unearned income |  | 117 |  |  | 95 |
Goodwill and intangibles |  | 116 |  |  | 161 |
Fixed assets and leases |  | 42 |  |  | 0 |
Other assets |  | 143 |  |  | 142 |
Subtotal |  | 6,031 |  |  | 3,900 |
Valuation allowance |  | (296) |  |  | (223) |
Total deferred tax assets |  | 5,735 |  |  | 3,677 |
Deferred tax liabilities: |  |  |  |
Security and loan valuations(1) |  | 805 |  |  | 234 |
Original issue discount |  | 481 |  |  | 600 |
Net unrealized gains on derivatives |  | 387 |  |  | 93 |
Right-of-use assets |  | 342 |  |  | 393 |
Partnership investments |  | 142 |  |  | 147 |
Mortgage servicing rights |  | 73 |  |  | 55 |
Loan fees and expenses |  | 36 |  |  | 100 |
Fixed assets and leases |  | 0 |  |  | 189 |
Other liabilities |  | 143 |  |  | 146 |
Total deferred tax liabilities |  | 2,409 |  |  | 1,957 |
Net deferred tax assets |  | $ | 3,326 |  |  | $ | 1,720 |
_________ (1)Amount includes the tax impact of our December 31, 2019 transfer of our entire portfolio of held to maturity securities to available for sale.
Schedule of Reconciliation of Change in Unrecognized Tax Benefits | The following table presents the accrued balance of tax, interest and penalties related to unrecognized tax benefits. Table 15.4: Reconciliation of the Change in Unrecognized Tax Benefits
(Dollars in millions) |  | Gross Unrecognized Tax Benefits |  | Accrued Interest and Penalties |  | Gross Tax, Interest and Penalties
Balance as of January 1, 2018 |  | $ | 86 |  |  | $ | 29 |  |  | $ | 115 |
Additions for tax positions related to the current year |  | 28 |  |  | 0 |  |  | 28 |
Additions for tax positions related to prior years |  | 402 |  |  | 25 |  |  | 427 |
Reductions for tax positions related to prior years due to IRS and other settlements |  | (76) |  |  | (19) |  |  | (95) |
Balance as of December 31, 2018 |  | 440 |  |  | 35 |  |  | 475 |
Additions for tax positions related to the current year |  | 23 |  |  | 17 |  |  | 40 |
Additions for tax positions related to prior years |  | 12 |  |  | 4 |  |  | 16 |
Reductions for tax positions related to prior years due to IRS and other settlements |  | (44) |  |  | (25) |  |  | (69) |
Balance as of December 31, 2019 |  | 431 |  |  | 31 |  |  | 462 |
Additions for tax positions related to the current year |  | 33 |  |  | 0 |  |  | 33 |
Additions for tax positions related to prior years |  | 3 |  |  | 21 |  |  | 24 |
Reductions for tax positions related to prior years due to IRS and other settlements |  | (16) |  |  | (6) |  |  | (22) |
Balance as of December 31, 2020 |  | $ | 451 |  |  | $ | 46 |  |  | $ | 497 |
Portion of balance at December 31, 2020 that, if recognized, would impact the effective income tax rate |  | $ | 153 |  |  | $ | 35 |  |  | $ | 188 |

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