Income Taxes	9 Months Ended
Sep. 30, 2020
Income Taxes [Abstract]
Income Taxes	14. Income Taxes The Company filed for a change in accounting method under the Internal Revenue Service tangible property regulations, or TPR, effective in 2014. Under the change in accounting method, the Company is permitted to deduct the costs of certain asset improvements that were previously being capitalized and depreciated for tax purposes as an expense on its income tax return. This ongoing deduction results in a reduction in the effective income tax rate, a net reduction in income tax expense, and a reduction in the amount of income taxes currently payable. It also results in increases to deferred tax liabilities and regulatory assets representing the appropriate book and tax basis difference on capital additions. The Company’s effective tax rate was 16.0% and 11.7% for the three months ended September 30, 2020 and 2019, respectively, and 13.9% and 15.1% for the nine months ended September 30, 2020 and 2019, respectively. The higher effective tax rate for the three months ended September 30, 2020 is primarily due to lower deductions from the TPR. The lower effective tax rate for the nine months ended September 30, 2020 is primarily due to higher deductions from the TPR and a non-taxable gain on life insurance. The effective tax rate will vary depending on the level of eligible asset improvements expensed for tax purposes under TPR each period.

Income Taxes

9 Months Ended

Sep. 30, 2020

14. Income Taxes

The Company filed for a change in accounting method under the Internal Revenue Service tangible property regulations, or TPR, effective in 2014. Under the change in accounting method, the Company is permitted to deduct the costs of certain asset improvements that were previously being capitalized and depreciated for tax purposes as an expense on its income tax return. This ongoing deduction results in a reduction in the effective income tax rate, a net reduction in income tax expense, and a reduction in the amount of income taxes currently payable. It also results in increases to deferred tax liabilities and regulatory assets representing the appropriate book and tax basis difference on capital additions.

The Company’s effective tax rate was 16.0% and 11.7% for the three months ended September 30, 2020 and 2019, respectively, and 13.9% and 15.1% for the nine months ended September 30, 2020 and 2019, respectively. The higher effective tax rate for the three months ended September 30, 2020 is primarily due to lower deductions from the TPR. The lower effective tax rate for the nine months ended September 30, 2020 is primarily due to higher deductions from the TPR and a non-taxable gain on life insurance. The effective tax rate will vary depending on the level of eligible asset improvements expensed for tax purposes under TPR each period.