Provision for Income Taxes (Tables)

12 Months Ended

Dec. 31, 2013

Provision for Income Taxes [Abstract]

Federal and State Income Tax Provision

Our federal and state income tax provision (benefit) is summarized below:

	For the Year Ended December 31,
	2013			2012			2011
Current:
Federal	$	(0.5	)	$	18.9		$	(4.0	)
State		19.3			28.9			18.9
Foreign		0.8			1.2			0.2
Total current		19.6			49.0			15.1
Deferred:
Federal		(0.5	)		(64.7	)		11.5
State		38.9			(1.4	)		0.8
Foreign		(0.5	)		(0.1	)		(0.2	)
Total deferred		37.9			(66.2	)		12.1
Total provision for (benefit from) income taxes	$	57.5		$	(17.2	)	$	27.2

Reconciliation of Provision for Income Taxes

A reconciliation of the provision for (benefit from) income taxes with amounts determined by applying the statutory U.S. federal income tax rate to income before income taxes is as follows:

	For the Year Ended December 31,
	2013			2012			2011
Pre-Tax Net Book Income ("NBI")	$	2,664.6		$	2,410.8		$	2,115.5
Texas Margin Tax (1)	$	58.3		$	23.5		$	19.1
State income taxes (net of federal benefit)		(0.1	)		5.3			0.5
Federal income taxes computed by applying the federal statutory rate to NBI of corporate entities		(1.4	)		(1.6	)		5.0
Valuation allowance		--			(2.0	)		(0.2	)
Expiration of tax net operating loss		0.1			2.4			0.2
Tax gain on conversion of corporate subsidiaries into limited liability companies		--			(45.3	)		--
Other permanent differences		0.6			0.5			2.6
Provision for (benefit from) income taxes	$	57.5		$	(17.2	)	$	27.2
Effective income tax rate		2.2	%		(0.7	)%		1.3	%

(1) Although the Texas Margin Tax is not considered a state income tax, it has the characteristics of an income tax since it is determined by applying a tax rate to a base that considers our Texas-sourced revenues and expenses.

Components of Deferred Tax Assets and Liabilities

The following table presents the significant components of deferred tax assets and deferred tax liabilities at the dates indicated:

	At December 31,
	2013		2012
Deferred tax assets:
Net operating loss carryovers (1)	$	0.1	$	0.2
Employee benefit plans		0.2		0.1
Accruals		2.0		1.5
Total deferred tax assets		2.3		1.8
Valuation allowance (2)		--		--
Net deferred tax assets		2.3		1.8
Less: Deferred tax liabilities:
Property, plant and equipment		59.8		23.7
Equity investment in partnerships		2.9		0.6
Total deferred tax liabilities		62.7		24.3
Total net deferred tax liabilities	$	60.4	$	22.5
Current portion of total net deferred tax assets	$	0.4	$	--
Long-term portion of total net deferred tax liabilities	$	60.8	$	22.5

(1)	These losses expire in various years between 2014 and 2028 and are subject to limitations on their utilization.
(2)	We record a valuation allowance to reduce our deferred tax assets to the amount of future benefit that is more likely than not to be realized.