Income Taxes (Tables)

12 Months Ended

Dec. 31, 2012

INCOME TAXES [Abstract]

Components of income tax [Table Text Block]

Components of income taxes excluding discontinued operations, cumulative effects of changes in accounting principles, other comprehensive income, and equity in net results of affiliated companies accounted for after-tax, are as follows:

	2012			2011			2010
Income before income taxes, excluding equity in net results of affiliated companies accounted for after-tax (in millions)
U.S.	$	6,639		$	6,043		$	4,057
Non-U.S.	493			2,138			2,554
Total	$	7,132		$	8,181		$	6,611
Provision for/(Benefit from) income taxes (in millions)
Current
Federal	$	4		$	(4	)	$	(69	)
Non-U.S.	270			298			289
State and local	3			(24		)	(5		)
Total current	277			270			215
Deferred
Federal	2,076			(9,785		)	—
Non-U.S.	(126		)	(1,590		)	292
State and local	(171		)	(436		)	85
Total deferred	1,779			(11,811		)	377
Total	$	2,056		$	(11,541	)	$	592
Reconciliation of effective tax rate
U.S. statutory rate	35.0		%	35.0		%	35.0		%
Non-U.S. tax rates under U.S. rates	(1.6		)	(1.5		)	(0.1		)
State and local income taxes	0.2			1.1			1.5
General business credits	0.3			(1.9		)	(1.8		)
Dispositions and restructurings	(1.7		)	6.8			(9.5		)
U.S. tax on non-U.S. earnings	(1.0		)	(0.8		)	0.1
Prior year settlements and claims	(1.8		)	(0.2		)	(10.0		)
Tax-related interest	—			(0.9		)	(0.7		)
Tax-exempt income	(3.9		)	(3.9		)	(4.7		)
Other	1.7			(2.5		)	0.2
Valuation allowances	1.6			(172.3		)	(1.0		)
Effective rate	28.8		%	(141.1		)%	9.0		%

Components of deferred tax assets and liabilities [Table Text Block]

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

	December 31, 2012			December 31, 2011
Deferred tax assets
Employee benefit plans	$	8,079		$	8,189
Net operating loss carryforwards	2,417			3,163
Tax credit carryforwards	4,973			4,534
Research expenditures	2,321			2,297
Dealer and customer allowances and claims	1,820			1,731
Other foreign deferred tax assets	1,790			694
Allowance for credit losses	146			194
All other	1,176			1,483
Total gross deferred tax assets	22,722			22,285
Less: valuation allowances	(1,923		)	(1,545		)
Total net deferred tax assets	20,799			20,740
Deferred tax liabilities
Leasing transactions	1,145			932
Deferred income	2,094			2,098
Depreciation and amortization (excluding leasing transactions)	1,561			1,659
Finance receivables	616			551
Other foreign deferred tax liabilities	379			360
All other	289			711
Total deferred tax liabilities	6,084			6,311
Net deferred tax assets/(liabilities)	$	14,715		$	14,429

Summary of Income Tax Contingencies [Table Text Block]

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows for the years listed (in millions):

	2012			2011
Beginning balance	$	1,721		$	966
Increase – tax positions in prior periods	84			1,045
Increase – tax positions in current period	19			59
Decrease – tax positions in prior periods	(246		)	(134		)
Settlements	(31		)	(186		)
Lapse of statute of limitations	(14		)	(21		)
Foreign currency translation adjustment	14			(8		)
Ending balance	$	1,547		$	1,721