Income Taxes (Tables)

6 Months Ended

Jun. 30, 2022

Income Tax Disclosure [Abstract]

Reconciliation of income taxes at the statutory rate and income taxes shown in the Statement of Earnings

The following is a reconciliation of income taxes on continuing operations at the statutory rate of 21% to the provision for income taxes as shown in AFG’s Statement of Earnings (dollars in millions):

	Three months ended June 30,								Six months ended June 30,
	2022				2021				2022				2021
	Amount		% of EBT		Amount		% of EBT		Amount		% of EBT		Amount		% of EBT
Earnings from continuing operations before income taxes (“EBT”)	$	206			$	288			$	567			$	623
Income taxes at statutory rate	$	43	21	%	$	61	21	%	$	119	21	%	$	131	21	%
Effect of:
Employee stock ownership plan dividend paid deduction	(4)		(2	%)	(8)		(3	%)	(6)		(1	%)	(8)		(1	%)
Stock-based compensation	(2)		(1	%)	(8)		(3	%)	(4)		(1	%)	(10)		(2	%)
Tax exempt interest	(2)		(1	%)	(2)		(1	%)	(4)		(1	%)	(4)		(1	%)
Change in valuation allowance	1		—	%	3		1	%	(1)		—	%	3		—	%
Dividends received deduction	—		—	%	(1)		—	%	(1)		—	%	(1)		—	%
Foreign operations	—		—	%	(1)		—	%	5		1	%	(2)		—	%
Nondeductible expenses	1		—	%	2		1	%	3		1	%	4		1	%
Other	2		2	%	2		1	%	(1)		(1	%)	3		1	%
Provision for income taxes as shown in the statement of earnings	$	39	19	%	$	48	17	%	$	110	19	%	$	116	19	%