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Income Taxes (Tables)
9 Months Ended
Sep. 30, 2022
Income Taxes [Abstract]  
Reconciliation of Income Tax Expense

Three months ended September 30, 

Nine months ended September 30, 

(in millions)

    

2022

    

2021

    

2022

    

2021

Edison International:

(Loss) income from operations before income taxes

$

(261)

$

(326)

$

119

$

357

Provision for income tax at federal statutory rate of 21%

 

(55)

 

(68)

 

25

 

75

Increase (decrease) in income tax from:

 

  

 

  

 

  

 

  

State tax, net of federal benefit

 

(58)

 

(39)

 

(79)

 

(28)

Property-related

 

(79)

 

(33)

 

(172)

 

(159)

Average rate assumption method ("ARAM") adjustment 1

87

87

Insurance benefits

(2)

(2)

(6)

(7)

Wildfire related charges2

31

31

Other

 

7

 

(5)

 

(3)

 

4

Total income tax expense (benefit)

$

(187)

$

(29)

$

(235)

$

3

Effective tax rate

 

(71.6)

%  

 

(8.9)

%

 

(197.5)

%  

 

0.8

%

SCE:

Income from operations before income taxes

$

(230)

$

(268)

$

252

$

492

Provision for income tax at federal statutory rate of 21%

 

(48)

 

(56)

 

53

 

103

Increase (decrease) in income tax from:

 

  

 

  

 

  

 

  

State tax, net of federal benefit

 

(53)

 

(32)

 

(66)

 

(17)

Property-related

 

(79)

 

(33)

 

(172)

 

(159)

ARAM adjustment 1

87

87

Insurance benefits

(2)

(2)

(6)

(7)

Wildfire related charges2

31

31

Other

 

5

 

(6)

 

(4)

 

3

Total income tax expense (benefit)

$

(177)

$

(11)

$

(195)

$

41

Effective tax rate

 

(77.0)

%  

 

(4.1)

%

 

(77.4)

%  

 

8.3

%

1In July 2021, SCE received the IRS's response to its private letter ruling request, regarding the scope of the deferred tax normalization requirements and the computations required to comply with the average rate assumption method. As a result, SCE recorded a cumulative true up of $87 million reduction in tax benefits in the third quarter of 2021, for the period of January 2018 to June 2021. The above true up has an offsetting revenue adjustment resulting in no impact on earnings.
2Relates to portions of the estimated charge for the 2017/2018 Wildfire/Mudslide Events recorded in the third quarter of 2021, deemed to be non-deductible for tax purposes.