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Income Taxes Level 1 (Notes) | 9 Months Ended
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Sep. 30, 2016
Income Tax Disclosure [Abstract] |
Income Tax Disclosure [Text Block] | A reconciliation of the tax provision at the U.S. federal statutory rate to the provision (benefit) for income taxes is as follows:
| Three Months Ended September 30, | Nine Months Ended September 30,
| 2016 | 2015 | 2016 | 2015
Tax provision at U.S. federal statutory rate | $ | 185 |  | $ | 133 |  | $ | 378 |  | $ | 516 |
Tax-exempt interest | (31 | ) | (33 | ) | (94 | ) | (100 | )
Dividends-received deduction ("DRD") | (14 | ) | (36 | ) | (57 | ) | (131 | )
Decrease in valuation allowance | — |  | (60 | ) | (78 | ) | (57 | )
Sale of U.K. business | (50 | ) | — |  | (50 | ) | — |
Other | — |  | 3 |  | 3 |  | (6 | )
Provision for income taxes | $ | 90 |  | $ | 7 |  | $ | 102 |  | $ | 222 |
In addition to the effect of tax-exempt interest and DRD, the Company’s effective tax rate for the three and nine months ended September 30, 2016 reflects a federal income tax benefit related to the sale of the Company's U.K. property and casualty runoff subsidiaries. The tax benefit of $50 relates to the difference between the tax basis and book basis of the Company's investment in the subsidiaries. The total estimated tax benefit recognized related to the sale of the U.K. property and casualty runoff subsidiaries was $65. For discussion of this transaction, see Note 2 - Business Acquisitions and Dispositions of Notes to Condensed Consolidated Financial Statements. The Company’s effective tax rate for the nine months ended September 30, 2016 also reflects a reduction of $78 in deferred tax valuation allowance related to capital loss carryovers, which are fully utilized. The Company's effective tax rate for the three and nine months ended September 30, 2015 reflects a $60 benefit from the reduction of the deferred tax asset valuation allowance on the capital loss carryover due to taxable gains on sales of investments in the third quarter 2015. The Company’s effective tax rate for the nine months ended September 30, 2015 also reflects a $36 net reduction in the provision for income taxes related to uncertain tax positions consisting of a $48 reduction in the provision in second quarter 2015, offset by a $12 increase in the provision for the three months ended September 30, 2015. The separate account DRD is estimated for the current year using information from the most recent return, adjusted for current year equity market performance and other appropriate factors, including estimated levels of corporate dividend payments and level of policy owner equity account balances. The actual current year DRD can vary from estimates based on, but not limited to, changes in eligible dividends received in the mutual funds, amounts of distribution from these mutual funds, amounts of short-term capital gains at the mutual fund level and the Company’s taxable income before the DRD. The Company evaluates its DRD computations on a quarterly basis. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
| Three Months Ended September 30, | Nine Months Ended September 30,
| 2016 | 2015 | 2016 | 2015
Balance, beginning of period | $ | 12 |  | $ | — |  | $ | 12 |  | $ | 48 |
Gross increases - tax positions in prior period | — |  | 12 |  | — |  | 12 |
Gross decreases - tax positions in prior period [1] | — |  | — |  | — |  | (48 | )
Balance, end of period | $ | 12 |  | $ | 12 |  | $ | 12 |  | $ | 12 |
[1] | Gross decreases in 2015 relate to conclusion of the Internal Revenue Service audit of the Company's 2007-2011 federal consolidated corporate income tax returns.
The entire amount of unrecognized tax benefits, if recognized, would affect the effective tax rate in the period of the release. The federal audit of the years 2012 and 2013 began in March 2015 and is expected to be completed in 2017. Management believes that adequate provision has been made in the financial statements for any potential adjustments that may result from tax examinations and other tax-related matters for all open tax years. Net deferred income taxes include the future tax benefits associated with the net operating loss carryover, foreign tax credit carryover, capital loss carryover, and alternative minimum tax credit carryover as follows:
| As of |
| September 30, 2016 | December 31, 2015 | Expiration
| Carryover amount | Expected tax benefit, gross | Carryover amount | Expected tax benefit, gross | Dates | Amount
Net operating loss carryover - U.S. | $ | 4,820 |  | $ | 1,687 |  | $ | 5,182 |  | $ | 1,814 |  | 2016 | - | 2020 | $ | 3 |
|  |  |  |  | 2023 | - | 2033 | $ | 4,817 |
Net operating loss carryover - foreign | $ | 76 |  | $ | 15 |  | $ | 89 |  | $ | 17 |  | No expiration | $ | 76 |
Foreign tax credit carryover | $ | 65 |  | $ | 65 |  | $ | 154 |  | $ | 154 |  | 2020 | - | 2024 | $ | 65 |
Capital loss carryover | $ | — |  | $ | — |  | $ | 222 |  | $ | 78 |  |  | $ | — |
Alternative minimum tax credit carryover | $ | 684 |  | $ | 684 |  | $ | 639 |  | $ | 639 |  | No expiration | $ | 684 |
Net Operating Loss Carryover Due to limitations on the use of losses for one subsidiary, a valuation allowance of $1 has been established as of September 30, 2016 and December 31, 2015 in order to recognize only the portion of net operating losses that will more likely than not be realized. Utilization of these loss carryovers is dependent upon the generation of sufficient future taxable income. Most of the net operating loss carryover originated from the Company's U.S. and international annuity business, including from the hedging program. Given the continued runoff of the U.S. fixed and variable annuity business, the exposure to taxable losses from the Talcott Resolution business is significantly lessened. Given the expected earnings of its property and casualty, group benefits and mutual fund businesses, the Company expects to generate sufficient taxable income in the future to utilize its net operating loss carryover net of the recorded valuation allowance. Although the Company projects there will be sufficient future taxable income to fully recover the remainder of the loss carryover, the Company's estimate of the likely realization may change over time. Alternative Minimum Tax Credit and Foreign Tax Credit Carryover These credits are available to offset regular federal income taxes from future taxable income and although the Company believes there will be sufficient future regular federal taxable income, there can be no certainty that future events will not affect the ability to utilize the credits. Additionally, the use of the foreign tax credits generally depends on the generation of sufficient taxable income to first utilize all U.S. net operating loss carryover. However, the Company has identified and begun to purchase certain investments which allow for utilization of the foreign tax credits without first using the net operating loss carryover. Consequently, the Company believes it is more likely than not the foreign tax credit carryover will be fully realized. Accordingly, no valuation allowance has been provided on either the alternative minimum tax carryover or foreign tax credit carryover.

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- 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 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 2: 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 Reference 3: 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 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 + Details
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