INCOME TAXES

The effective tax rates from continuing operations for each of the Duke Energy Registrants are included in the following table.



	Three Months Ended June 30,				Six Months Ended June 30,
	2015		2014		2015		2014
Duke Energy	35.6	%	28.0	%	33.6	%	29.6	%
Duke Energy Carolinas	36.6	%	28.9	%	36.2	%	33.6	%
Progress Energy	39.2	%	37.7	%	37.1	%	37.4	%
Duke Energy Progress	40.6	%	37.3	%	36.0	%	36.9	%
Duke Energy Florida	38.7	%	38.7	%	38.6	%	38.6	%
Duke Energy Ohio	35.0	%	35.7	%	36.8	%	33.3	%
Duke Energy Indiana	36.4	%	36.9	%	36.5	%	36.8	%

The increase in the effective tax rate for Duke Energy for the three and six months ended June 30, 2015 is primarily due to a deferred tax benefit related to the merger of two Chilean subsidiaries recorded in second quarter 2014 and a deferred tax charge for changes in apportionment related to state income taxes recorded in second quarter 2015.

The increase in the effective tax rate for Duke Energy Carolinas for the three and six months ended June 30, 2015, is primarily due to favorable audit settlements and changes in apportionment related to state income tax in second quarter 2014.

The increase in the effective tax rate for Progress Energy for the three months ended June 30, 2015, is primarily due to tax levelization.

The increase in the effective tax rate for Duke Energy Progress for the three months ended June 30, 2015, is primarily due to unfavorable tax levelization offset by an increase in AFUDC-equity.

The increase in the effective tax rate for Duke Energy Ohio for the six months ended June 30, 2015, is primarily due to an increase in pretax income.