Income Taxes (Tables)

12 Months Ended

Dec. 31, 2021

Income Tax Disclosure [Abstract]

Schedule of Current and Deferred Taxes Charged to (Benefit) Expense

Current and deferred taxes charged to expense for the years ended December 31, 2021, 2020 and 2019 consisted of:

Years Ended December 31,	2021		2020		2019
(Millions)
Current
Federal	$	6	$	3	$	11
State	4		9		(6)
Current taxes charged to expense	10		12		5
Deferred
Federal	49		67		164
State	72		38		58
Deferred taxes charged to expense	121		105		222
Production tax credits	(109)		(87)		(57)
Investment tax credits	(1)		(1)		(1)
Total Income Tax Expense	$	21	$	29	$	169

Schedule of Differences between Tax Expense Per Statements of Income and Tax Expense at Statutory Federal Tax Rate

The differences between tax expense per the statements of income and tax expense at the 21% statutory federal tax rate for the years ended December 31, 2021, 2020 and 2019 consisted of:

Years Ended December 31,	2021		2020		2019
(Millions)
Tax expense at federal statutory rate	$	140	$	119	$	170
Depreciation and amortization not normalized	(19)		(13)		(23)
Investment tax credit amortization	(1)		(1)		(1)
Tax return related adjustments	—		1		(2)
Production tax credits	(109)		(87)		(57)
Tax equity financing arrangements	14		1		8
State tax expense (benefit), net of federal benefit	61		37		41
Excess ADIT amortization	(65)		(42)		—
Valuation allowance	21		12		4
Other, net	(21)		2		29
Total Income Tax Expense	$	21	$	29	$	169

Schedule of Deferred Tax Assets and Liabilities

Deferred tax assets and liabilities as of December 31, 2021 and 2020 consisted of:

As of December 31,	2021		2020
(Millions)
Deferred Income Tax Liabilities (Assets)
Property related	$	4,257	$	4,147
Unfunded future income taxes	104		100
Federal and state tax credits	(844)		(731)
Federal and state NOL’s	(998)		(1,047)
Joint ventures/partnerships	188		167
Nontaxable grant revenue	(292)		(311)
Pension and other post-retirement benefits	1		22
Tax Act - tax on regulatory remeasurement	(352)		(382)
Valuation allowance	110		81
Other	(158)		(127)
Deferred Income Tax Liabilities	$	2,016	$	1,919
Deferred tax assets	$	2,644	$	2,598
Deferred tax liabilities	4,660		4,517
Net Accumulated Deferred Income Tax Liabilities	$	2,016	$	1,919

Schedule of Reconciliation of Unrecognized Income Tax Benefits

The reconciliation of unrecognized income tax benefits for the years ended December 31, 2021, 2020 and 2019 consisted of:

Years ended December 31,	2021		2020		2019
(Millions)
Beginning Balance	$	127	$	148	$	153
Increases for tax positions related to prior years	3		11		14
Increases for tax positions related to current year	—		—		16
Decreases for tax positions related to prior years	(3)		(32)		(18)
Reduction for tax position related to settlements with taxing authorities	—		—		(17)
Ending Balance	$	127	$	127	$	148