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Income Taxes | 12 Months Ended
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Dec. 31, 2020
Income Tax Disclosure [Abstract] |
Income taxes | Income Taxes The components of income before income taxes from continuing operations for each of the years ended December 31 were as follows:
| 2020 | 2019 | 2018
| (In thousands)
United States | $ | 474,856 |  | $ | 398,532 |  | $ | 317,655 |
Foreign | 261 |  | (87) |  | (784) |
Income before income taxes from continuing operations | $ | 475,117 |  | $ | 398,445 |  | $ | 316,871 |
Income tax expense (benefit) from continuing operations for the years ended December 31 was as follows:
| 2020 |  | 2019 |  | 2018 |
| (In thousands)
Current: |  |  |
Federal | $ | 65,006 |  | $ | (3,502) |  | $ | (15,901) |
State | 21,234 |  | 3,366 |  | 3,651 |
Foreign | 151 |  | — |  | — |
| 86,391 |  | (136) |  | (12,250) |
Deferred: |  |  |
Income taxes: |  |  |
Federal | (3,735) |  | 50,218 |  | 50,755 |
State | (625) |  | 12,098 |  | 7,206 |
Investment tax credit - net | 2,559 |  | 1,099 |  | 1,774 |
| (1,801) |  | 63,415 |  | 59,735 |
Total income tax expense | $ | 84,590 |  | $ | 63,279 |  | $ | 47,485 |
The TCJA was enacted on December 22, 2017. The SEC issued rules that allowed for a measurement period of up to 12 months after the enactment date of the TCJA to finalize the recording of the related tax impacts. The Company reviewed the impacts of the TCJA and completed its assessment of the transitional impacts during the period ending December 31, 2018, of which there were no such material adjustments. Components of deferred tax assets and deferred tax liabilities at December 31 were as follows:
| 2020 | 2019
| (In thousands)
Deferred tax assets: |  |
Postretirement | $ | 51,495 |  | $ | 51,075 |
Compensation-related | 40,477 |  | 37,330 |
Operating lease liabilities | 25,963 |  | 24,459 |
Payroll tax deferral | 14,010 |  | — |
Legal and environmental contingencies | 9,467 |  | 6,601 |
Asset retirement obligations | 8,060 |  | 7,450 |
Customer advances | 7,463 |  | 7,325 |
Federal renewable energy credit | — |  | 5,343 |
Other | 37,944 |  | 32,533 |
Total deferred tax assets | 194,879 |  | 172,116 |
Deferred tax liabilities: |  |
Depreciation and basis differences on property, plant and equipment | 536,966 |  | 511,867 |
Postretirement | 49,233 |  | 48,927 |
Operating lease right-of-use-assets | 25,858 |  | 24,436 |
Intangible asset amortization | 19,514 |  | 18,930 |
Other | 67,922 |  | 61,385 |
Total deferred tax liabilities | 699,493 |  | 665,545 |
Valuation allowance | 11,484 |  | 13,154 |
Net deferred income tax liability | $ | 516,098 |  | $ | 506,583 |
As of December 31, 2020 and 2019, the Company had various state income tax net operating loss carryforwards of $151.5 million and $149.8 million, respectively, and federal and state income tax credit carryforwards, excluding alternative minimum tax credit carryforwards, of $37.1 million and $43.7 million, respectively. Included in the state credits are various regulatory investment tax credits of approximately $36.3 million and $37.4 million at December 31, 2020 and 2019, respectively. The state income tax credit carryforwards are due to expire between 2021 and 2034. Changes in tax regulations or assumptions regarding current and future taxable income could require additional valuation allowances in the future. The following table reconciles the change in the net deferred income tax liability from December 31, 2019, to December 31, 2020, to deferred income tax benefit:
| 2020
(In thousands)
Change in net deferred income tax liability from the preceding table | $ | 9,515 |
Deferred taxes associated with other comprehensive loss | 1,817 |
Excess deferred income tax amortization | (12,517) |
Other | (616) |
Deferred income tax benefit for the period | $ | (1,801) |
Total income tax expense differs from the amount computed by applying the statutory federal income tax rate to income before taxes. The reasons for this difference were as follows:
Years ended December 31, | 2020 | 2019 | 2018
| Amount | % | Amount | % | Amount | %
| (Dollars in thousands)
Computed tax at federal statutory rate | $ | 99,775 |  | 21.0 |  | $ | 83,674 |  | 21.0 |  | $ | 66,543 |  | 21.0 |
Increases (reductions) resulting from: |  |  |  |  |  |
State income taxes, net of federal income tax | 17,845 |  | 3.8 |  | 14,029 |  | 3.5 |  | 12,190 |  | 3.8 |
Federal renewable energy credit | (16,009) |  | (3.4) |  | (15,843) |  | (4.0) |  | (11,759) |  | (3.7) |
Tax compliance and uncertain tax positions | (3,543) |  | (.7) |  | (2,739) |  | (.7) |  | (2,725) |  | (.9) |
Excess deferred income tax amortization | (12,517) |  | (2.6) |  | (11,904) |  | (3.0) |  | (9,319) |  | (2.9) |
TCJA revaluation | — |  | — |  | — |  | — |  | (5,947) |  | (1.9) |
TCJA revaluation related to accumulated other comprehensive loss balance | — |  | — |  | — |  | — |  | (42) |  | — |
Other | (961) |  | (.3) |  | (3,938) |  | (.9) |  | (1,456) |  | (.4) |
Total income tax expense | $ | 84,590 |  | 17.8 |  | $ | 63,279 |  | 15.9 |  | $ | 47,485 |  | 15.0 |
The Company and its subsidiaries file income tax returns in the U.S. federal jurisdiction, and various state, local and foreign jurisdictions. The Company is no longer subject to U.S. federal or non-U.S. income tax examinations by tax authorities for years ending prior to 2016. With few exceptions, as of December 31, 2020, the Company is no longer subject to state and local income tax examinations by tax authorities for years ending prior to 2016. For the years ended December 31, 2020, 2019 and 2018, total reserves for uncertain tax positions were not material. The Company recognizes interest and penalties accrued relative to unrecognized tax benefits in income tax expense.

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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/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 21 -URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32857-109319 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 11.C) -URI http://asc.fasb.org/extlink&oid=116825942&loc=d3e330215-122817 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 17 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32809-109319 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SAB TOPIC 6.I.5.Q1) -URI http://asc.fasb.org/extlink&oid=116825942&loc=d3e330036-122817 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 14 -URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32705-109319 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 270 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6424409&loc=d3e44925-109338 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -URI http://asc.fasb.org/topic&trid=2144680 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 30 -Section 50 -Paragraph 2 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=6424122&loc=d3e41874-109331 + Details
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