INCOME TAXES: Income Taxes Level 3 (Tables)

12 Months Ended

Dec. 31, 2015

Income Taxes [Abstract]

Schedule of Effective Income Tax Rate Reconciliation

A reconciliation between the statutory federal income tax rate and the effective tax rate is as follows:

	IDACORP									Idaho Power
	2015			2014			2013			2015			2014			2013
	(thousands of dollars)
Federal income tax expense at 35% statutory rate	$	84,154		$	73,588		$	89,125		$	83,724		$	73,116		$	88,550
Change in taxes resulting from:
AFUDC	(11,140		)	(9,238		)	(7,882		)	(11,140		)	(9,238		)	(7,882		)
Capitalized interest	2,693			2,278			1,832			2,693			2,278			1,832
Investment tax credits	(2,963		)	(3,002		)	(3,119		)	(2,963		)	(3,002		)	(3,119		)
Removal costs	(4,807		)	(3,656		)	(3,527		)	(4,807		)	(3,656		)	(3,527		)
Capitalized overhead costs	(8,750		)	(8,750		)	(8,750		)	(8,750		)	(8,750		)	(8,750		)
Capitalized repair costs	(28,700		)	(26,250		)	(19,250		)	(28,700		)	(26,250		)	(19,250		)
Bond redemption costs	(6,459		)	—			—			(6,459		)	—			—
Tax method change – capitalized repairs	—			(24,516		)	4,583			—			(24,516		)	4,583
State income taxes, net of federal benefit	7,343			4,680			6,730			7,503			5,334			6,970
Depreciation	17,149			16,040			14,820			17,149			16,040			14,820
Affordable housing tax credits	(3,258		)	(5,189		)	(5,503		)	—			—			—
Affordable housing investment amortization	1,519			2,757			1,684			—			—			—
Other, net	(1,021		)	(1,970		)	1,483			(22		)	(1,840		)	2,033
Total income tax expense	$	45,760		$	16,772		$	72,226		$	48,228		$	19,516		$	76,260
Effective tax rate	19.0%			8.0%			28.4%			20.2%			9.3%			30.1%

Schedule of Components of Income Tax Expense (Benefit)

The items comprising income tax expense are as follows:

	IDACORP									Idaho Power
	2015			2014			2013			2015			2014			2013
	(thousands of dollars)
Income taxes current:
Federal	$	4,831		$	(4,926	)	$	3,416		$	16,470		$	(2,805	)	$	10,988
State	2,704			3,516			3,241			6,056			6,867			5,917
Total	7,535			(1,410		)	6,657			22,526			4,062			16,905
Income taxes deferred:
Federal	34,770			17,159			61,947			27,696			21,833			60,934
State	626			(3,260		)	1,806			(2,486		)	(6,421		)	(804		)
Total	35,396			13,899			63,753			25,210			15,412			60,130
Investment tax credits:
Deferred	3,455			3,044			2,344			3,455			3,044			2,344
Restored	(2,963		)	(3,002		)	(3,119		)	(2,963		)	(3,002		)	(3,119		)
Total	492			42			(775		)	492			42			(775		)
Affordable housing investment amortization	2,337			4,241			2,591			—			—			—
Total income tax expense	$	45,760		$	16,772		$	72,226		$	48,228		$	19,516		$	76,260

Schedule of Deferred Tax Assets and Liabilities

The components of the net deferred tax liability are as follows:

	IDACORP				Idaho Power
	2015		2014		2015		2014
	(thousands of dollars)
Deferred tax assets:
Regulatory liabilities	$	51,131	$	55,490	$	51,131	$	55,490
Deferred compensation	27,573		25,355		27,489		25,240
Deferred revenue	34,282		28,529		34,282		28,529
Tax credits	147,299		154,044		30,307		26,843
Partnership investments	7,220		8,190		—		—
Retirement benefits	126,885		132,571		126,885		132,571
Other	11,245		15,222		10,745		14,553
Total	405,635		419,401		280,839		283,226
Deferred tax liabilities:
Property, plant and equipment	474,879		451,118		474,879		451,118
Regulatory assets	875,028		802,188		875,028		802,188
Power cost adjustments	18,489		23,192		18,489		23,192
Partnership investments	16,925		17,492		9,829		10,227
Retirement benefits	126,090		122,360		126,090		122,360
Other	31,600		25,982		28,895		22,252
Total	1,543,011		1,442,332		1,533,210		1,431,337
Net deferred tax liabilities	$	1,137,376	$	1,022,931	$	1,252,371	$	1,148,111