XML 42 R18.htm IDEA: XBRL DOCUMENT
v3.23.3

Income Taxes | 9 Months Ended
--- | ---
Sep. 30, 2023
Income Tax Disclosure [Abstract] |
Income Taxes | NOTE 8. IN COME TAXES In accordance with interim reporting requirements, the Company uses an estimated annual effective tax rate for computing its provisions for income taxes. An estimate of annual income tax expense (or benefit) is made each interim period using estimates for annual pre-tax income, income tax adjustments, and tax credits. The estimated annual effective tax rates do not include discrete events such as tax law changes, examination settlements, accounting method changes, or adjustments to tax expense or benefits attributable to prior years. Discrete events are recorded in the interim period in which they occur or become known. The estimated annual tax rate is applied to year-to-date pre-tax income to determine income tax expense (or benefit) for the interim period consistent with the annual estimate. In subsequent interim periods, income tax expense (or benefit) for the period is computed as the difference between the year-to-date amount reported for the previous interim period and the current period’s year-to-date amount. The following table summarizes the significant factors impacting the difference between the Company's effective tax rate and the federal statutory rate for the three and nine months ended September 30 (dollars in thousands):
|  | Three months ended September 30, |  |  | Nine months ended September 30, |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
Federal income taxes at statutory rates |  | $ | 2,294 |  |  |  | 21.0 | % |  | $ | (1,185 | ) |  |  | 21.0 | % |  | $ | 14,872 |  |  |  | 21.0 | % |  | $ | 13,764 |  |  |  | 21.0 | %
Increase (decrease) in tax resulting from: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Flow through related to deduction of meters and mixed service costs (1) |  |  | (3,744 | ) |  |  | (34.3 | ) |  |  | 1,192 |  |  |  | (21.1 | ) |  |  | (22,956 | ) |  |  | (32.4 | ) |  |  | (18,643 | ) |  |  | (28.4 | )
Tax effect of regulatory treatment of utility plant differences |  |  | (828 | ) |  |  | (7.6 | ) |  |  | 420 |  |  |  | (7.5 | ) |  |  | (6,040 | ) |  |  | (8.5 | ) |  |  | (6,878 | ) |  |  | (10.5 | )
State income tax expense |  |  | 151 |  |  |  | 1.4 |  |  |  | (45 | ) |  |  | 0.8 |  |  |  | 949 |  |  |  | 1.3 |  |  |  | 856 |  |  |  | 1.3 |
Tax credits |  |  | (862 | ) |  |  | (7.9 | ) |  |  | — |  |  |  | — |  |  |  | (1,997 | ) |  |  | (2.8 | ) |  |  | — |  |  |  | — |
Settlement of prior year tax returns |  |  | (867 | ) |  |  | (7.9 | ) |  |  | (318 | ) |  |  | 5.6 |  |  |  | (867 | ) |  |  | (1.2 | ) |  |  | (318 | ) |  |  | (0.5 | )
Uncertain tax positions |  |  | 184 |  |  |  | 1.7 |  |  |  | — |  |  |  | — |  |  |  | 184 |  |  |  | 0.2 |  |  |  | — |  |  |  | — |
Other |  |  | (114 | ) |  |  | (1.0 | ) |  |  | 93 |  |  |  | (1.6 | ) |  |  | (369 | ) |  |  | (0.5 | ) |  |  | (459 | ) |  |  | (0.7 | )
Total income tax benefit |  | $ | (3,786 | ) |  |  | (34.6 | )% |  | $ | 157 |  |  |  | (2.8 | )% |  | $ | (16,224 | ) |  |  | (22.9 | )% |  | $ | (11,678 | ) |  |  | (17.8 | )%
(1) The Company's general rate cases included approval of base rate increases, offset by tax customer credits. As the tax customer credits are returned to customers, this results in a decrease to income tax expense as a result of flowing through the benefits related to meters and mixed service costs. The decrease in income tax expense offsets the increases in base rates granted to the Company in these general rate cases.

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 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 -Topic 946 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 13 -Publisher FASB -URI https://asc.fasb.org//1943274/2147480990/946-20-50-13 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 235 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(h)(2)) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480678/235-10-S99-1 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//740/tableOfContent Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 14 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-14 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-21 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 270 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482526/740-270-50-1 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 17 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-17 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SAB TOPIC 6.I.5.Q1) -Publisher FASB -URI https://asc.fasb.org//1943274/2147479360/740-10-S99-1 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 11.C) -Publisher FASB -URI https://asc.fasb.org//1943274/2147479360/740-10-S99-2 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 30 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482603/740-30-50-2 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration