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Income taxes (Tables) | 12 Months Ended
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Dec. 31, 2019
Summary of Income Tax Expense (Benefit) |
millions of Canadian dollars |  |  | 2019 |  |  |  | 2018 |  |  |  | 2017 |
Current income tax expense (a) |  |  | 140 |  |  |  | (14 | ) |  |  | (58 | )
Deferred income tax expense (a) |  |  | (294 | ) |  |  | 773 |  |  |  | 150 |
Total income tax expense (a) |  |  | (154 | ) |  |  | 759 |  |  |  | 92 |
Statutory corporate tax rate (percent) |  |  | 26.0 |  |  |  | 26.9 |  |  |  | 26.9 |
Increase (decrease) resulting from: |  |  |  |  |  |  |  |  |  |  |  |
Disposals (b) |  |  | (0.6 | ) |  |  | (0.3 | ) |  |  | (5.3 | )
Enacted tax rate change (a) |  |  | (31.9 | ) |  |  | - |  |  |  | 0.9 |
Other (c) |  |  | (1.0 | ) |  |  | (1.9 | ) |  |  | (6.6 | )
Effective income tax rate |  |  | (7.5 | ) |  |  | 24.7 |  |  |  | 15.9 |
(a) | On June 28, 2019 the Alberta government enacted a 4 percent decrease in the provincial tax rate, from 12 percent to 8 percent by 2022. On November 2, 2017 the British Columbia government enacted a 1 percent increase in the provincial tax rate from 11 percent to 12 percent.
(b) | 2017 disposals we re primarily associated with the sale of surplus property in Ontario.
(c) | Other decreases in 2017 and 2018 were primarily related to prior year adjustments and re-assessments.
Components of Deferred Income Tax Liabilities and Assets | Components of deferred income tax liabilities and asset s as at December 31 were:
millions of Canadian dollars |  |  | 2019 |  |  |  | 2018 |  |  |  | 2017 |
Depreciation and amortization |  |  | 5,164 |  |  |  | 5,726 |  |  |  | 5,564 |
Successful drilling and land acquisitions |  |  | 750 |  |  |  | 856 |  |  |  | 762 |
Pension and benefits |  |  | (469 | ) |  |  | (336 | ) |  |  | (422 | )
Asset retirement obligation |  |  | (336 | ) |  |  | (381 | ) |  |  | (376 | )
Capitalized interest |  |  | 117 |  |  |  | 121 |  |  |  | 118 |
LIFO inventory valuation |  |  | (276 | ) |  |  | (107 | ) |  |  | (318 | )
Tax loss carryforwards |  |  | (141 | ) |  |  | (658 | ) |  |  | (936 | )
Other |  |  | (161 | ) |  |  | (150 | ) |  |  | (196 | )
Net deferred income tax liabilities |  |  | 4,648 |  |  |  | 5,071 |  |  |  | 4,196 |
Unrecognized Tax Benefits | The following table summarizes the movement in unrecognized tax benefits:
millions of Canadian dollars |  |  | 2019 |  |  |  | 2018 |  |  |  | 2017 |
Balance as of January 1 |  |  | 36 |  |  |  | 78 |  |  |  | 106 |
Additions for prior years’ tax positions |  |  | 1 |  |  |  | 9 |  |  |  | 2 |
Reductions for prior years’ tax positions |  |  | - |  |  |  | (2 | ) |  |  | - |
Reductions due to lapse of the statute of limitations |  |  | - |  |  |  | - |  |  |  | - |
Settlements with tax authorities |  |  | (2 | ) |  |  | (49 | ) |  |  | (30 | )
Balance as of December 31 |  |  | 35 |  |  |  | 36 |  |  |  | 78 |

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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=84230637&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=84230637&loc=d3e32537-109319 + Details
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