Income Taxes (Tables)

12 Months Ended

Dec. 31, 2012

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]

The components of the federal and state income tax expense (benefit) are summarized as follows:



	Years Ended December 31,
	2012			2011			2010
Current expense (benefit):
Federal	$	(3	)	$	(1	)	$	1
State	4			16			9
Total	1			15			10
Deferred expense:
Federal	45			4			6
State	17			—			—
Total	62			4			6
Total income tax expense from continuing operations	$	63		$	19		$	16

Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]

Historically, our effective rate differed from the statutory rate primarily due to Partnership earnings that are not subject to U.S. federal and most state income taxes at the Partnership level. The completion of the Southern Union, Sunoco and Holdco transactions (see Note 3) significantly increased the activities conducted through corporate subsidiaries. A reconciliation of income tax expense (benefit) at the U.S. statutory rate to the income tax expense (benefit) attributable to continuing operations for the year ended December 31, 2012 is as follows:



	Holdco⁽¹⁾			Other Corporate Subsidiaries⁽²⁾		Partnership⁽³⁾		Consolidated
Income tax expense (benefit) at U.S. statutory rate of 35 percent	$	(1	)	$	2	$	—	$	1
Increase (reduction) in income taxes resulting from:
Nondeductible executive compensation	28			—		—		28
State income taxes (net of federal income tax effects)	9			—		7		16
Other	17			1		—		18
Income tax income from continuing operations	$	53		$	3	$	7	$	63


⁽¹⁾	Holdco, which was formed via the Sunoco Merger and the Holdco transactions (see Note 3), includes Sunoco and Southern Union and their subsidiaries.


⁽²⁾	Includes Oasis Pipeline Company, Inland Corporation, Mid-Valley Pipeline Company and West Texas Gulf Pipeline Company. The latter three entities were acquired in the Sunoco transaction.


⁽³⁾	Includes ETP and its subsidiaries that are classified as pass-through entities for federal income tax purposes.

Schedule of Deferred Tax Assets and Liabilities [Table Text Block]

The table below summarizes the principal components of the deferred tax assets (liabilities) as follows:



	December 31,
	2012			2011
Deferred income tax assets:
Net operating losses and alternative minimum tax credit	$	268		$	3
Pension and other postretirement benefits	127			—
Long term debt	117			—
Other	288			2
Total deferred income tax assets	800			5
Valuation allowance	(90		)	—
Net deferred income tax assets	710			5

Deferred income tax liabilities:
Properties, plants and equipment	(1,938		)	(55		)
Inventory	(516		)	—
Investment in unconsolidated affiliates	(1,542		)	(72		)
Trademarks	(192		)	—
Other	(128		)	(1		)
Total deferred income tax liabilities	(4,316		)	(128		)
Net deferred income tax liability	(3,606		)	(123		)
Less: current portion of deferred income tax assets (liabilities)	(130		)	3
Accumulated deferred income taxes	$	(3,476	)	$	(126	)

Balance Sheet Classification of Deferred Taxes [Table Text Block]

The table below provides a rollforward of the net deferred income tax liability as follows:



	December 31,
	2012
Net deferred income tax liability, beginning of year	$	(123	)
Southern Union acquisition	(1,420		)
Sunoco acquisition	(1,989		)
Tax provision (including discontinued operations)	(73		)
Other	(1		)
Net deferred income tax liability	$	(3,606	)

Schedule of Unrecognized Tax Benefits Rollforward [Table Text Block]

The following table sets forth the changes in unrecognized tax benefits:



	Years Ended December 31,
	2012			2011			2010
Balance at beginning of year	$	2		$	2		$	1
Additions attributable to acquisitions	28			—			—
Additions attributable to tax positions taken in the current year	—			1			—
Additions attributable to tax positions taken in prior years	—			—			1
Settlements	—			(1		)	—
Lapse of statute	(3		)	—			—
Balance at end of year	$	27		$	2		$	2