Income Taxes (Tables)

12 Months Ended

Mar. 31, 2020

Income Tax Disclosure [Abstract]

Provision (benefit) for Income Taxes

The provision (benefit) for income taxes consisted of the following:

	Years ended March 31,
	2020			2019			2018
Current
Federal	$	(19	)	$	(55	)	$	(45	)
State		120			76			(10	)
Foreign		8			4			3
Total		109			25			(52	)
Deferred
Federal		145			207			(2,625	)
State		(141	)		(49	)		48
Foreign		(2	)		(1	)		-
Total		2			157			(2,577	)
Provision (benefit) for income taxes	$	111		$	182		$	(2,629	)

Reconciliation Between U.S. Federal Statutory Tax Rate and Effective Tax Rate

A reconciliation between the U.S. federal statutory tax rate and the effective tax rate is as follows:

	Years ended March 31,
	2020			2019			2018
Provision for income taxes at U.S. federal statutory tax rate		21.0	%		21.0	%		31.6	%
State and local taxes (net of federal tax benefit)		4.0	%		4.6	%		4.8	%
Effect of state tax law changes		(3.9	)%		(1.3	)%		(0.1	)%
Federal tax credits		(3.7	)%		(1.0	)%		(1.1	)%
Tax rate differential from tax loss carryback		(5.6	)%		(2.8	)%		-
Adjustment for prior year provision to return differences		(1.0	)%		(1.4	)%		0.4	%
Revaluation of federal deferred tax liability from TCJA		-			-			(371.6	)%
Other, net		-			(0.5	)%		(0.6	)%
Effective tax rate		10.8	%		18.6	%		(336.6	)%

Deferred Tax Liabilities and Assets

Our net deferred income tax liability consisted of the following deferred tax liabilities and assets:

	March 31,
	2020			2019
Liabilities:
Lease transactions	$	5,180		$	7,121
State taxes, net of federal tax benefit		629			847
Insurance dealer commissions		254			235
Mark-to-market of investments in marketable securities and derivatives		14			44
Other		83			53
Deferred tax liabilities	$	6,160		$	8,300
Assets:
Provision for credit and residual value losses		370			361
Deferred costs and fees		188			192
Net operating loss and tax credit carryforwards		100			2,297
Lease obligations		25			-
Other		32			22
Deferred tax assets		715			2,872
Valuation allowance		(13	)		(24	)
Net deferred tax assets	$	702		$	2,848
Net deferred income tax liability1	$	5,458		$	5,452

¹  Balance includes deferred tax liabilities attributable to unrealized gains or losses included in accumulated other comprehensive income or loss, net of $4 million and $1 million at March 31, 2020 and 2019, respectively. The change in this balance is not included in total deferred tax expense.

Change in Unrecognized Tax Benefits

The change in unrecognized tax benefits are as follows:

	March 31,
	2020		2019		2018
Balance at beginning of the year	$	7	$	6	$	6
Increases related to positions taken during the    current year		12		1		-
Balance at end of year	$	19	$	7	$	6