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Income Taxes (Tables) | 12 Months Ended
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Dec. 31, 2020
Income Tax Disclosure [Abstract] |
Components of the (provision)/benefit for income taxes on continuing operations | The components of the (provision) benefit for income taxes on continuing operations were:
| Year Ended December 31
Millions of dollars | 2020 | 2019 | 2018
Current income taxes: |  |  |
Federal | $ | 1 |  | $ | 32 |  | $ | 19 |
Foreign | (167) |  | (426) |  | (428) |
State | — |  | (9) |  | (15) |
Total current | (166) |  | (403) |  | (424) |
Deferred income taxes: |  |  |
Federal | 372 |  | 383 |  | 286 |
Foreign | 2 |  | (36) |  | 9 |
State | 70 |  | 49 |  | (28) |
Total deferred | 444 |  | 396 |  | 267 |
Income tax (provision) benefit | $ | 278 |  | $ | (7) |  | $ | (157) |
United States and foreign components of income from continuing operations before income taxes | The United States and foreign components of income (loss) from continuing operations before income taxes were as follows:
| Year Ended December 31
Millions of dollars | 2020 | 2019 | 2018
United States | $ | (3,031) |  | $ | (1,517) |  | $ | 1,097 |
Foreign | (189) |  | 395 |  | 717 |
Total | $ | (3,220) |  | $ | (1,122) |  | $ | 1,814 |
Reconciliations between the actual provision for income taxes on continuing operations and that computed by applying the US statutory rate to income from continuing operations before income taxes | Reconciliations between the actual (provision) benefit for income taxes on continuing operations and that computed by applying the United States statutory rate to income (loss) from continuing operations before income taxes were as follows:
| Year Ended December 31
| 2020 | 2019 | 2018
United States statutory rate | 21.0 | % | 21.0 | % | 21.0 | %
Impact of impairments and other charges | (12.3) |  | (20.9) |  | — |
Impact of foreign income taxed at different rates | (1.1) |  | 0.8 |  | (3.0) |
Valuation allowance against tax assets | 0.9 |  | (10.7) |  | (16.2) |
Adjustments of prior year taxes | 0.7 |  | 13.0 |  | 2.0 |
State income taxes | — |  | (1.3) |  | 1.9 |
Venezuela adjustment | — |  | — |  | 5.7 |
Impact of U.S. tax reform | — |  | — |  | (2.6) |
Other items, net | (0.6) |  | (2.5) |  | (0.1) |
Total effective tax rate on continuing operations | 8.6 | % | (0.6) | % | 8.7 | %
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | The primary components of our deferred tax assets and liabilities were as follows:
| December 31
Millions of dollars | 2020 | 2019
Gross deferred tax assets: |  |
Net operating loss carryforwards | $ | 1,691 |  | $ | 1,301 |
Foreign tax credit carryforwards | 945 |  | 877 |
Research and development tax credit carryforwards | 196 |  | 198 |
Employee compensation and benefits | 237 |  | 215 |
Accrued liabilities | 263 |  | 316 |
Other | 469 |  | 382 |
Total gross deferred tax assets | 3,801 |  | 3,289 |
Gross deferred tax liabilities: |  |
Depreciation and amortization | 7 |  | 373 |
Operating lease right-of-use assets | 86 |  | 109 |
Other | 155 |  | 58 |
Total gross deferred tax liabilities | 248 |  | 540 |
Valuation allowances | 1,394 |  | 1,082 |
Net deferred income tax asset | $ | 2,159 |  | $ | 1,667 |
Rollforward of unrecognized tax benefits and associated interest and penalties | The following table presents a rollforward of our unrecognized tax benefits and associated interest and penalties.
Millions of dollars | Unrecognized Tax Benefits |  | Interest and Penalties
Balance at January 1, 2018 | $ | 333 |  |  | $ | 60 |
Change in prior year tax positions | 32 |  |  | 11 |
Change in current year tax positions | 63 |  |  | — |
Cash settlements with taxing authorities | (7) |  |  | (2) |
Lapse of statute of limitations | (4) |  |  | (2) |
Balance at December 31, 2018 | $ | 417 |  |  | $ | 67 |
Change in prior year tax positions | 25 |  |  | 11 |
Change in current year tax positions | 29 |  |  | — |
Cash settlements with taxing authorities | (4) |  |  | — |
Lapse of statute of limitations | (42) |  |  | (8) |
Balance at December 31, 2019 | $ | 425 |  | (a) | $ | 70 |
Change in prior year tax positions | (66) |  |  | 6 |
Change in current year tax positions | 16 |  |  | — |
Cash settlements with taxing authorities | (3) |  |  | — |
Lapse of statute of limitations | (17) |  |  | (5) |
Balance at December 31, 2020 | $ | 355 |  | (a)(b) | $ | 71 |
(a) Includes $18 million as of December 31, 2020 and $25 million as of December 31, 2019 in foreign unrecognized tax benefits that would give rise to a United States tax credit. As of December 31, 2020 and December 31, 2019, a net $224 million and $271 million without a net operating loss carryforward offset, respectively, of unrecognized tax benefits would positively impact the effective tax rate and be recognized as additional tax benefits in our statement of operations if resolved in our favor. (b) Includes $17 million that could be resolved within the next 12 months.
Summary of Tax Credit Carryforwards | Our deferred tax assets from net operating losses, foreign tax credits, and research and development credits will expire as follows:
Millions of dollars | U.S. Net Operating Loss | Foreign Net Operating Loss | Foreign Tax Credits | Research and Development Credit | Total
2021-2025 | $ | 2 |  | $ | 186 |  | $ | 533 |  | $ | — |  | $ | 721 |
2026-2030 | 7 |  | 125 |  | 557 |  | — |  | 689 |
2031-2041 | 665 |  | 92 |  | — |  | 196 |  | 953 |
Non-Expiring | 312 |  | 435 |  | — |  | — |  | 747 |
| $ | 986 |  | $ | 838 |  | $ | 1,090 |  | $ | 196 |  | $ | 3,110 |

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