XML 51 R30.htm IDEA: XBRL DOCUMENT
v3.7.0.1

Income Taxes (Tables) | 12 Months Ended
--- | ---
Dec. 31, 2016
Income Tax Disclosure [Abstract] |
Income taxes receivable (payable) | U.S. Cellular’s current income taxes balances at December 31, 2016 and 2015 were as follows:
December 31, | 2016 |  | 2015
(Dollars in millions) |  |  |  |  |
Federal income taxes receivable (payable) | $ | (8) |  | $ | 33
Net state income taxes receivable |  | – |  |  | 1
Income tax expense (benefit) | Income tax expense (benefit) is summarized as follows:
Year Ended December 31, | 2016 |  | 2015 |  | 2014
(Dollars in millions) |  |  |  |  |  |  |  |
Current |  |  |  |  |  |  |  |
| Federal | $ | 29 |  | $ | 97 |  | $ | (79)
| State |  | (2) |  |  | 5 |  |  | 9
Deferred |  |  |  |  |  |  |  |
| Federal |  | 1 |  |  | 48 |  |  | 45
| State |  | 5 |  |  | 7 |  |  | 7
| State - valuation allowance adjustment |  | – |  |  | – |  |  | 6
|  | Total income tax expense (benefit) | $ | 33 |  | $ | 157 |  | $ | (12)
Income tax reconciliation | A reconciliation of U.S. Cellular’s income tax expense computed at the statutory rate to the reported income tax expense, and the statutory federal income tax expense rate to U.S. Cellular’s effective income tax expense rate is as follows:
Year Ended December 31, | 2016 |  | 2015 |  | 2014
|  | Amount |  | Rate |  | Amount |  | Rate |  | Amount |  | Rate
(Dollars in millions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Statutory federal income tax expense and rate | $ | 29 |  | 35.0 | % |  | $ | 141 |  | 35.0 | % |  | $ | (21) |  | 35.0 | %
State income taxes, net of federal benefit1 |  | 3 |  | 3.6 |  |  |  | 8 |  | 2.1 |  |  |  | 12 |  | (20.8) |
Effect of noncontrolling interests |  | (1) |  | (1.1) |  |  |  | 3 |  | 0.6 |  |  |  | (6) |  | 9.8 |
Other differences, net |  | 2 |  | 2.2 |  |  |  | 5 |  | 1.0 |  |  |  | 3 |  | (3.9) |
Total income tax expense (benefit) and rate | $ | 33 |  | 39.7 | % |  | $ | 157 |  | 38.7 | % |  | $ | (12) |  | 20.1 | %
1 | State income taxes, net of federal benefit, include changes in unrecognized tax benefits as well as adjustments to the valuation allowance. During the third quarter of 2014, U.S. Cellular recorded a $6 million increase to income tax expense related to a valuation allowance recorded against certain state deferred tax assets.
Deferred income tax assets and liabilities | Significant components of U.S. Cellular’s deferred income tax assets and liabilities at December 31, 2016 and 2015 were as follows:
December 31, | 2016 |  | 2015
(Dollars in millions) |  |  |  |  |
Deferred tax assets |  |  |  |  |
| Net operating loss (“NOL”) carryforwards | $ | 88 |  | $ | 79
| Stock-based compensation |  | 26 |  |  | 24
| Compensation and benefits - other |  | 21 |  |  | 20
| Deferred rent |  | 21 |  |  | 19
| Other |  | 56 |  |  | 79
Total deferred tax assets |  | 212 |  |  | 221
| Less valuation allowance |  | (65) |  |  | (55)
Net deferred tax assets |  | 147 |  |  | 166
Deferred tax liabilities |  |  |  |  |
| Property, plant and equipment |  | 473 |  |  | 517
| Licenses/intangibles |  | 326 |  |  | 306
| Partnership investments |  | 173 |  |  | 162
| Total deferred tax liabilities |  | 972 |  |  | 985
Net deferred income tax liability | $ | 825 |  | $ | 819
Presented in the Consolidated Balance Sheet as: |  |  |  |  |
Deferred income tax liability, net | $ | 826 |  | $ | 821
Other assets and deferred charges |  | (1) |  |  | (2)
| Net deferred income tax liability | $ | 825 |  | $ | 819
Deferred tax valuation allowance | A summary of U.S. Cellular’s deferred tax asset valuation allowance is as follows:
|  | 2016 |  | 2015 |  | 2014
(Dollars in millions) |  |  |  |  |  |  |  |
Balance at beginning of year | $ | 55 |  | $ | 53 |  | $ | 43
| Charged to income tax expense |  | 10 |  |  | 2 |  |  | 10
Balance at end of year | $ | 65 |  | $ | 55 |  | $ | 53
Income tax unrecognized benefits summary | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
|  | 2016 |  | 2015 |  | 2014
(Dollars in millions) |  |  |  |  |  |  |  |
Unrecognized tax benefits balance at beginning of year | $ | 39 |  | $ | 36 |  | $ | 29
| Additions for tax positions of current year |  | 12 |  |  | 7 |  |  | 8
| Additions for tax positions of prior years |  | 3 |  |  | 1 |  |  | –
| Reductions for tax positions of prior years |  | (1) |  |  | – |  |  | (1)
| Reductions for lapses in statutes of limitations |  | (10) |  |  | (5) |  |  | –
Unrecognized tax benefits balance at end of year | $ | 43 |  | $ | 39 |  | $ | 36

X
- References No definition available. + Details
Name: | us-gaap_IncomeTaxDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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://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=65882285&loc=d3e32639-109319 + Details
Name: | us-gaap_ScheduleOfComponentsOfIncomeTaxExpenseBenefitTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- 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://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=65882285&loc=d3e32537-109319 + Details
Name: | us-gaap_ScheduleOfDeferredTaxAssetsAndLiabilitiesTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the reconciliation using percentage or dollar amounts of the reported amount of income tax expense attributable to continuing operations for the year to the amount of income tax expense that would result from applying domestic federal statutory tax rates to pretax income from continuing operations. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=65882285&loc=d3e32687-109319 + Details
Name: | us-gaap_ScheduleOfEffectiveIncomeTaxRateReconciliationTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure for tax positions taken in the tax returns filed or to be filed for which it is more likely than not that the tax position will not be sustained upon examination by taxing authorities and other income tax contingencies. Includes, but is not limited to, interest and penalties, reconciliation of unrecognized tax benefits, unrecognized tax benefits that would affect the effective tax rate, tax years that remain subject to examination by tax jurisdictions, and information about positions for which it is reasonably possible that amounts unrecognized will significantly change within 12 months. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15A -URI http://asc.fasb.org/extlink&oid=65882285&loc=SL6600010-109319 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15 -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=65882285&loc=d3e32718-109319 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 19 -URI http://asc.fasb.org/extlink&oid=65882285&loc=d3e32840-109319 + Details
Name: | us-gaap_SummaryOfIncomeTaxContingenciesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of valuation allowances to reduce deferred tax assets to net realizable value, including identification of the deferred tax asset more likely than not will not be fully realized and the corresponding amount of the valuation allowance. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Glossary Valuation Allowance -URI http://asc.fasb.org/extlink&oid=6528051 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=65882285&loc=d3e32537-109319 + Details
Name: | us-gaap_SummaryOfValuationAllowanceTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of income taxes receivable and payable. + References No definition available. + Details
Name: | usm_IncomeTaxesReceivablePayableTableTextBlock
Namespace Prefix: | usm_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration