Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

Schedule Of Components Of Income Tax Expense (Benefit)

	PG&E Corporation						Utility
	Year Ended December 31,
(in millions)	2015		2014		2013		2015		2014		2013
Current:
Federal	$	(89)	$	(84)	$	(218)	$	(88)	$	(84)	$	(222)
State		11		(41)		(26)		6		(29)		(23)
Deferred:
Federal		131		396		552		136		426		604
State		(76)		78		(35)		(69)		75		(28)
Tax credits		(4)		(4)		(5)		(4)		(4)		(5)
Income tax provision	$	(27)	$	345	$	268	$	(19)	$	384	$	326

Schedule Of Deferred Tax Assets And Liabilities

	PG&E Corporation				Utility
	Year Ended December 31,
(in millions)	2015		2014		2015		2014
Deferred income tax assets:
Customer advances for construction	$	69	$	88	$	69	$	88
Environmental reserve		85		111		85		111
Compensation and benefits		219		244		145		173
Tax carryforwards		1,703		1,177		1,462		946
Greenhouse gas allowances		340		56		340		56
Other		44		74		61		100
Total deferred income tax assets	$	2,460	$	1,750	$	2,162	$	1,474
Deferred income tax liabilities:
Regulatory balancing accounts	$	691	$	512	$	691	$	512
Property related basis differences		9,656		8,683		9,638		8,666
Income tax regulatory asset (1)		1,244		974		1,245		974
Other		75		88		75		86
Total deferred income tax liabilities	$	11,666	$	10,257	$	11,649	$	10,238
Total net deferred income tax liabilities	$	9,206	$	8,507	$	9,487	$	8,764
Classification of net deferred income tax liabilities:
Included in current liabilities (assets)	$	-	$	(6)	$	-	$	(9)
Included in noncurrent liabilities		9,206		8,513		9,487		8,773
Total net deferred income tax liabilities	$	9,206	$	8,507	$	9,487	$	8,764

(1) Represents the deferred income tax component of the cumulative differences between amounts recognized for ratemaking purposes and amounts recognized in accordance with GAAP. (See Note 3 above.)

Schedule Of Effective Income Tax Rate Reconciliation

	PG&E Corporation										Utility
	Year Ended December 31,
	2015			2014			2013			2015				2014			2013
Federal statutory income tax rate	35.0	%	35.0		%	35.0		%	35.0			%	35.0		%	35.0		%
Increase (decrease) in income
tax rate resulting from:
State income tax (net of
federal benefit) (1)	(4.9)		1.4			(3.1)			(4.8)				1.6			(2.2)
Effect of regulatory treatment
of fixed asset differences (2)	(33.6)		(15.0)			(4.2)			(33.7)				(14.7)			(3.8)
Tax credits	(1.3)		(0.7)			(0.4)			(1.3)				(0.7)			(0.4)
Benefit of loss carryback	(1.5)		(0.8)			(1.1)			(1.5)				(0.8)			(1.0)
Non deductible penalties (3)	4.3		0.3			0.8			4.3				0.3			0.7
Other, net	(1.1)		(0.8)			(2.2)			(0.2)				0.4			(0.9)
Effective tax rate	(3.1)	%	19.4		%	24.8		%	(2.2)			%	21.1		%	27.4		%

(1) Includes the effect of state flow-through ratemaking treatment. In 2015, amounts include an agreement with the IRS on a 2011 audit related to electric transmission and distribution repairs deductions.

(2) Includes the effect of federal flow-through ratemaking treatment for certain property-related costs in 2015 and 2014 as authorized by the 2014 GRC decision. Amounts are impacted by the level of income before income taxes.

(3) Represents the effects of non-tax deductible fines and penalties associated with the Penalty Decision. (For more information about the Penalty Decision see Note 13 below.)

Schedule Of Change In Unrecognized Tax Benefits

	PG&E Corporation						Utility
(in millions)	2015		2014		2013		2015		2014		2013
Balance at beginning of year	$	713	$	666	$	581	$	707	$	660	$	575
Additions for tax position taken
during a prior year		40		7		12		40		7		12
Reductions for tax position
taken during a prior year		(349)		(9)		(6)		(349)		(9)		(6)
Additions for tax position
taken during the current year		64		61		79		64		61		79
Settlements		-		(12)		-		-		(12)		-
Balance at end of year	$	468	$	713	$	666	$	462	$	707	$	660

Schedule of Operating Loss And Tax Credit Carryforward Balances

	December 31,		Expiration
(in millions)	2015		Year
Federal:
Net operating loss carryforward	$	4,856	2029 - 2035
Tax credit carryforward		110	2029 - 2035
Charitable contribution loss carryforward		178	2017 - 2020

State:
Net operating loss carryforward	$	80	2033 - 2034
Tax credit carryforward		59	Various
Charitable contribution loss carryforward		119	2019 - 2020