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Income Taxes (Tables)
12 Months Ended
Dec. 31, 2019
Income Taxes [Abstract]  
Schedule Of Components Of Income Tax Expense Components of income tax expense were as follows for the years ended December 31:

Millions

2019

2018

2017

Current tax expense:

Federal

$

1,000 

$

1,144 

$

1,750 

State

254 

287 

235 

Foreign

8 

5 

2 

Total current tax expense

1,262 

1,436 

1,987 

Deferred and other tax expense:

Federal

417 

344 

(5,260)

State

128 

5 

183 

Foreign

21 

(10)

10 

Total deferred and other tax expense/(benefit) [a]

566 

339 

(5,067)

Total income tax expense/(benefit)

$

1,828 

$

1,775 

$

(3,080)

Reconciliations Between Statutory And Effective Tax Rates For the years ended December 31, reconciliations between statutory and effective tax rates are as follows:

Tax Rate Percentages

2019

2018

2017

Federal statutory tax rate

21.0 

%

21.0 

%

35.0 

%

State statutory rates, net of federal benefits

3.7 

3.9 

3.1 

Adjustment for Tax Cuts and Jobs Act

-

-

(77.8)

Excess tax benefits from equity compensation plans

(0.7)

(0.4)

(0.6)

Other deferred tax adjustments

(0.1)

(0.6)

0.4 

Other

(0.3)

(1.0)

(0.5)

Effective tax rate

23.6 

%

22.9 

%

(40.4)

%

Schedule Of Deferred Income Tax Liabilities And Assets Deferred income tax (liabilities)/assets were comprised of the following at December 31:

Millions

2019

2018

Deferred income tax liabilities:

Property

$

(12,184)

$

(11,590)

Other

(341)

(213)

Total deferred income tax liabilities

(12,525)

(11,803)

Deferred income tax assets:

Accrued wages

45 

46 

Accrued casualty costs

146 

148 

Stock compensation

37 

44 

Retiree benefits

171 

138 

Other

134 

125 

Total deferred income tax assets

533 

501 

Net deferred income tax liability

$

(11,992)

$

(11,302)

Reconciliation Of Changes In Unrecognized Tax Benefits Liabilities/(Assets) A reconciliation of changes in unrecognized tax benefits liabilities/(assets) from the beginning to the end of the reporting period is as follows:

Millions

2019

2018

2017

Unrecognized tax benefits at January 1

$

174 

$

179 

$

125 

Increases for positions taken in current year

20 

30 

38 

Increases for positions taken in prior years

44 

9 

51 

Decreases for positions taken in prior years

(96)

(30)

(56)

Refunds from/(payments to) and settlements with taxing authorities

(11)

21 

64 

Increases/(decreases) for interest and penalties

(5)

4 

-

Lapse of statutes of limitations

(62)

(39)

(43)

Unrecognized tax benefits at December 31

$

64 

$

174 

$

179 

Unrecognized Tax Benefits That Would/Not Reduce The Effective Tax Rate Several state tax authorities are examining our state income tax returns for years 2015 through 2017.

We do not expect our unrecognized tax benefits to change significantly in the next 12 months.

The portion of our unrecognized tax benefits that relates to permanent changes in tax and interest would reduce our effective tax rate, if recognized. The remaining unrecognized tax benefits relate to tax positions for which only the timing of the benefit is uncertain. Recognition of the tax benefits with uncertain timing would reduce our effective tax rate only through a reduction of accrued interest and penalties. The unrecognized tax benefits that would reduce our effective tax rate are as follows:

Millions

2019

2018

2017

Unrecognized tax benefits that would reduce the effective tax rate

$

39 

$

63 

$

83 

Unrecognized tax benefits that would not reduce the effective tax rate

25 

111 

96 

Total unrecognized tax benefits

$

64 

$

174 

$

179