Note 18 - Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

Income Tax Disclosure [Abstract]

Schedule of Loss before Income Tax, Domestic and Foreign

The components of Loss from continuing operations before income taxes and the related provision (benefit) for U.S. and other income taxes were as follows (in millions):

	Year Ended December 31,
	2019			2018
(Loss) earnings from continuing operations before    income taxes:
U.S.	$	(68	)	$	(46	)
Outside the U.S.		8			33
Total	$	(60	)	$	(13	)
U.S. income taxes:
Current benefit	$	—		$	(30	)
Deferred provision		—			1
Income taxes outside the U.S.:
Current provision		7			4
Deferred provision		24			21
Total provision	$	31		$	(4	)

Schedule of Effective Income Tax Rate Reconciliation

The differences between income taxes computed using the U.S. federal income tax rate and the provision (benefit) for income taxes for continuing operations were as follows (in millions):

	Year Ended December 31,
	2019			2018
Amount computed using the statutory rate	$	(13	)	$	(3	)
Increase (reduction) in taxes resulting from:
Unremitted foreign earnings		(1	)		2
Operations outside the U.S.		22			28
Legislative tax law and rate changes		1			7
Valuation allowance		11			(18	)
Tax settlements and adjustments, including interest		2			(33	)
Discharge of debt and other reorganization related items		—			13
Embedded derivative liability		9			—
Provision (benefit) from income taxes	$	31		$	(4	)

Schedule of Deferred Tax Assets and Liabilities

The significant components of deferred tax assets and liabilities were as follows (in millions):

	As of December 31,
	2019		2018
Deferred tax assets
Pension and postretirement obligations	$	39	$	62
Restructuring programs		2		1
Leasing		1		—
Foreign tax credit		355		357
Inventories		8		10
Investment tax credit		46		48
Employee deferred compensation		24		23
Depreciation		41		64
Research and development costs		56		67
Tax loss carryforwards		325		338
Other deferred revenue		2		1
Other		86		67
Total deferred tax assets	$	985	$	1,038
Deferred tax liabilities
Leasing	$	—	$	2
Goodwill/intangibles		11		16
Unremitted foreign earnings		19		22
Total deferred tax liabilities		30		40
Net deferred tax assets before valuation allowance		955		998
Valuation allowance		821		853
Net deferred tax assets	$	134	$	145

Schedule of Components of Income Tax Expense (Benefit)

Deferred tax assets (liabilities) are reported in the following components within the Consolidated Statement of Financial Position (in millions):

	As of December 31,
	2019			2018
Deferred income taxes	$	147		$	160
Other long-term liabilities		(13	)		(15	)
Net deferred tax assets	$	134		$	145

Schedule of Unrecognized Tax Benefits Roll Forward

A reconciliation of the beginning and ending amount of Kodak’s liability for income taxes associated with unrecognized tax benefits is as follows

(in millions):

	Year Ended December 31,
	2019			2018
Balance as of January 1	$	57		$	61
Tax positions related to the current year:
Additions		—			—
Tax positions related to prior years:
Additions		1			1
Reductions		(1	)		(5	)
Settlements with taxing jurisdictions		(3	)		—
Balance as of December 31	$	54		$	57