v2.4.0.8

Income Taxes | 12 Months Ended
--- | ---
Dec. 31, 2013
Income Taxes | Note 15: Income Taxes
Components of Income Tax Expense
Year ended December 31 (in millions) |  | 2013 |  | 2012 |  | 2011
Current expense (benefit): |  |  |  |  |  |
| Federal | $ | 3,183 | $ | 3,004 | $ | 1,480
| State |  | 581 |  | 432 |  | 359
| Foreign |  | 200 |  | 169 |  | 153
|  |  | 3,964 |  | 3,605 |  | 1,992
Deferred expense (benefit): |  |  |  |  |  |
| Federal |  | (76) |  | 160 |  | 658
| State |  | 108 |  | (40) |  | 371
| Foreign |  | (16) |  | 19 |  | 29
|  |  | 16 |  | 139 |  | 1,058
Income tax expense | $ | 3,980 | $ | 3,744 | $ | 3,050
Our income tax expense differs from the federal statutory amount because of the effect of the items detailed in the table below.
Year ended December 31 (in millions) |  | 2013 |  | 2012 |  | 2011
Federal tax at statutory rate | $ | 3,890 | $ | 4,063 | $ | 2,872
State income taxes, net of federal benefit |  | 319 |  | 178 |  | 354
Foreign income taxes, net of federal credit |  | 15 |  | 92 |  | 89
Nontaxable income attributable to noncontrolling interests |  | (103) |  | (620) |  | (410)
Adjustments to uncertain and effectively settled tax positions, net |  | 58 |  | 114 |  | 77
Accrued interest on uncertain and effectively settled tax positions, net |  | 114 |  | 23 |  | 66
Other |  | (313) |  | (106) |  | 2
Income tax expense | $ | 3,980 | $ | 3,744 | $ | 3,050
We base our provision for income taxes on our current period income, changes in our deferred income tax assets and liabilities, income tax rates, changes in estimates of our uncertain tax positions, and tax planning opportunities available in the jurisdictions in which we operate. We recognize deferred tax assets and liabilities when there are temporary differences between the financial reporting basis and tax basis of our assets and liabilities and for the expected benefits of using net operating loss carryforwards. When a change in the tax rate or tax law has an impact on deferred taxes, we apply the change based on the years in which the temporary differences are expected to reverse. We record the change in our consolidated financial statements in the period of enactment. Income tax consequences that arise in connection with a business combination include identifying the tax basis of assets and liabilities acquired and any contingencies associated with uncertain tax positions assumed or resulting from the business combination. Deferred tax assets and liabilities related to temporary differences of an acquired entity are recorded as of the date of the business combination and are based on our estimate of the ultimate tax basis that will be accepted by the various taxing authorities. We record liabilities for contingencies associated with prior tax returns filed by the acquired entity based on criteria set forth in the appropriate accounting guidance. We adjust the deferred tax accounts and the liabilities periodically to reflect any revised estimated tax basis and any estimated settlements with the various taxing authorities. The effects of these adjustments are recorded to income tax expense. From time to time, we engage in transactions in which the tax consequences may be subject to uncertainty. In these cases, we evaluate our tax positions using the recognition threshold and the measurement attribute in accordance with the accounting guidance related to uncertain tax positions. Examples of these transactions include business acquisitions and dispositions, including consideration paid or received in connection with these transactions, and certain financing transactions. Significant judgment is required in assessing and estimating the tax consequences of these transactions. We determine whether it is more likely than not that a tax position will be sustained on examination, including the resolution of any related appeals or litigation processes, based on the technical merits of the position. A tax position that meets the more-likely-than-not recognition threshold is measured to determine the amount of benefit to be recognized in our financial statements. We classify interest and penalties, if any, associated with our uncertain tax positions as a component of income tax expense. NBCUniversal For U.S. federal income tax purposes, NBCUniversal Holdings is treated as a partnership and NBCUniversal is disregarded as an entity separate from NBCUniversal Holdings. Accordingly, neither NBCUniversal Holdings nor NBCUniversal and its subsidiaries incur any material current or deferred domestic income taxes. Following the close of the Redemption Transaction in March 2013, the taxable income of NBCUniversal Holdings and NBCUniversal is allocable entirely to us. We are indemnified by GE for any income tax liability attributable to the NBCUniversal contributed businesses for periods prior to the date of the 2011 NBCUniversal Transaction and also for any income tax liability attributable to NBCUniversal Enterprise for periods prior to the date of the Redemption Transaction. We ha ve indemnified GE for any income tax liability attributable to the Comcast Content Business for periods prior to the date of the 2011 NBCUniversal Transaction. Current and deferred foreign income taxes are incurred by NBCUniversal's foreign subsidiaries. In 2013, 2012, and 2011, NBCUniversal had foreign income before taxes of $524 million, $434 million and $476 million, respectively, on which foreign income tax expense was recorded. W e recorded U.S. income tax expense on our allocable share of NBCUniversal's income before domestic and foreign taxes, which was reduced by a U.S. tax credit equal to our allocable share of NBCUniversal's foreign income tax expense.
Components of Net Deferred Tax Liability
December 31 (in millions) |  | 2013 |  | 2012
Deferred Tax Assets: |  |  |  |
| Net operating loss carryforwards | $ | 495 | $ | 491
| Differences between book and tax basis of long-term debt |  | 117 |  | 109
| Nondeductible accruals and other |  | 3,588 |  | 1,771
| Less: Valuation allowance |  | 405 |  | 355
|  |  | 3,795 |  | 2,016
Deferred Tax Liabilities: |  |  |  |
| Differences between book and tax basis of property and equipment and intangible assets |  | 34,044 |  | 29,185
| Differences between book and tax basis of investments |  | 473 |  | 848
| Differences between book and tax basis of indexed debt securities |  | 610 |  | 587
| Differences between book and tax basis of foreign subsidiaries and undistributed foreign earnings |  | 367 |  | -
| Differences between book and tax outside basis of NBCUniversal |  | - |  | 1,413
|  |  | 35,494 |  | 32,033
Net deferred tax liability | $ | 31,699 | $ | 30,017
Changes in net deferred income tax liabilities in 2013 that were not recorded as deferred income tax expense are primarily related to increases of $1.6 b illion associated with the Redemption Transaction and increases of $25 million related to items included in other comprehensive income (loss). Our net deferred tax liability includes $23 billion related to cable franchise rights that will remain unchanged unless we recognize an impairment or dispose of a cable franchise. Net deferred tax assets included in current assets are primarily related to our current investments and current liabilities. As of December 31, 2013, we had federal net operating loss carryforwards of $1 76 million and various state net operating loss carryforwards that expire in periods through 203 3. As of December 31, 2013, we also had foreign net operating loss carryforwards of $2 79 million that are related to the foreign operations of NBCUniversal, the majority of which expire in periods through 202 3. The determination of the realization of the state and foreign net operating loss carryforwards is dependent on our subsidiaries' taxable income or loss, apportionment percentages, and state and foreign laws that can change from year to year and impact the amount of such carryforwards. We recognize a valuation allowance if we determine it is more likely than not that some portion, or all, of a deferred tax asset will not be realized. As of December 31, 2013 and 2012, our valuation allowance was related primarily to state and foreign net operating loss carryforwards. In 2013, 2012 and 2011, income tax expense attributable to share-based compensation of $244 million, $164 million and $38 million, respectively, was allocated to shareholders' equity. Uncertain Tax Positions Our uncertain tax positions as of December 31, 2013 totaled $1.7 billion, which excludes the federal benefits on state tax positions that were recorded as deferred income taxes. I nclud ed in our uncertain tax positions was $283 million related to tax positions of NBCUniversal and NBCUniversal Enterprise for which we have been indemnified by GE. If we were to recognize the tax benefit for our uncertain tax positions in the future, $980 m illion would impact our effective tax rate and the remaining amount would increase our deferred income tax liability. The amount and timing of the recognition of any such tax benefit is dependent on the completion of our tax examinations and the expiration of statutes of limitations. A majority of the amount of our uncertain tax positions relates to positions taken in years before 2007.
Reconciliation of Unrecognized Tax Benefits
(in millions) |  | 2013 |  | 2012 |  | 2011
Balance, January 1 | $ | 1,573 | $ | 1,435 | $ | 1,251
Additions based on tax positions related to the current year |  | 90 |  | 154 |  | 87
Additions based on tax positions related to prior years |  | 201 |  | 79 |  | 75
Additions from acquired subsidiaries |  | 268 |  | - |  | 57
Reductions for tax positions of prior years |  | (141) |  | (60) |  | (22)
Reductions due to expiration of statutes of limitations |  | (3) |  | (3) |  | (5)
Settlements with taxing authorities |  | (287) |  | (32) |  | (8)
Balance, December 31 | $ | 1,701 | $ | 1,573 | $ | 1,435
As of December 31, 2013 and 2012, our accrued interest associated with tax positions was $780 million and $721 million, respectively. As of December 31, 2013 and 2012, $42 million and $11 million, respectively, of these amounts were related to tax positions of NBCUniversal and NBCUniversal Enterprise for which we have been indemnified by GE. During 2013, the IRS completed its examination of our income tax returns for the years 2009 through 2011. During 2013, we effectively settled f ed e ral tax dispute s related to prior periods. Th e s e settlement s did not have a material impact on our income tax expense. Various states are examining our tax returns through 2011. The tax years of our state tax returns currently under examination vary by state. The majority of the periods under examination relate to tax years 2000 and forward, with a select few dating back to 1993. It is reasonably possible that certain statutes of limitations for the years 2000 through 2006 will expire within the next 12 months that could result in a decrease to our uncertain tax positions.
NBCUniversal Media, LLC [Member] |
Income Taxes | Note 14: Income Taxes
Components of Income Tax Expense |  |  |  |  |  |
|  | Successor
|  |  |  |  |  | For the Period January 29, 2011 to December 31,
|  | Year Ended December 31, | Year Ended December 31, |
(in millions) | 2013 | 2012 | 2011
Foreign |  |  |  |  |  |
| Current income tax expense | $ | 77 | $ | 69 | $ | 53
| Deferred income tax expense |  | (16) |  | 16 |  | 29
| Withholding tax expense |  | 123 |  | 103 |  | 100
U.S. domestic tax expense |  | 22 |  | 9 |  | 3
Income tax expense | $ | 206 | $ | 197 | $ | 185
We are a limited liability company, and our company is disregarded for U.S. federal income tax purposes as an entity separate from NBCUniversal Holdings, a tax partnership. NBCUniversal and our subsidiaries are not expected to incur any significant current or deferred U.S. domestic income taxes. Our tax liability is comprised primarily of withholding tax on foreign licensing activity and income taxes on foreign earnings. As a result of our tax status, the deferred tax assets and liabilities included in our consolidated ba lance sheet at December 31, 2013 and 201 2 were not material. In jurisdictions in which we are subject to income taxes, we base our provision for income taxes on our current period income, changes in our deferred income tax assets and liabilities, income tax rates, changes in estimates of our uncertain tax positions, and tax planning opportunities available in the jurisdictions in which we operate. We recognize deferred tax assets and liabilities when there are temporary differences between the financial reporting basis and tax basis of our assets and liabilities and for the expected benefits of using net operating loss carryforwards. When a change in the tax rate or tax law has an impact on deferred taxes, we apply the change based on the years in which the temporary differences are expected to reverse. We record the change in our consolidated financial statements in the period of enactment. We classify interest and penalties, if any, associated with our uncertain tax positions as a component of income tax expense. Uncertain Tax Positions We retain liabilities for uncertain tax positions where we are the tax filer of record. GE and Comcast have indemnified NBCUniversal Holdings and us with respect to our income tax obligations attributable to periods prior to the close of the Joint Venture transaction, including indemnification of uncertain tax positions relating to filings made prior to the close of the Joint Venture transaction. T he liabilities for uncertain tax positions included in our consolidated balance sheet were not material as of December 31, 201 3 and 201 2. Various domestic and foreign taxing authorities are examining our tax returns through 201 2. The majority of t he periods under examination relate to tax years 2004 and forward. All periods prior to January 28, 2011 that are subject to audit are covered by the indemnification from GE or Comcast.

X
- Definition The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32718-109319 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(h)) -URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 08 -Paragraph h -Article 4 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32639-109319 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32537-109319 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32559-109319 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration