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Income Taxes (LLC) (MidAmerican Funding, LLC and Subsidiaries [Domain])
 6 Months Ended
Jun. 30, 2013
MidAmerican Funding, LLC and Subsidiaries [Domain]
  
Income Taxes [Line Items]  
Income Tax Disclosure [Text Block]
(6)
Income Taxes

A reconciliation of the federal statutory income tax rate to the effective income tax rate applicable to income before income tax benefit is as follows:
 
Three-Month Periods
 
Six-Month Periods
 
Ended June 30,
 
Ended June 30,
 
2013
 
2012
 
2013
 
2012
 
 
 
 
 
 
 
 
Federal statutory income tax rate
35
 %
 
35
 %
 
35
 %
 
35
 %
Income tax credits
(75
)
 
(60
)
 
(66
)
 
(57
)
State income tax, net of federal income tax benefit
(8
)
 
(13
)
 
(3
)
 
(9
)
Income tax method change
—

 
(36
)
 
—

 
(16
)
Effects of ratemaking
(20
)
 
(4
)
 
(4
)
 
(3
)
Other, net
(1
)
 
5

 
1

 
2

Effective income tax rate
(69
)%
 
(73
)%
 
(37
)%
 
(48
)%

Income tax credits relate primarily to production tax credits earned by MidAmerican Energy's wind-powered generating facilities. Federal renewable electricity production tax credits are earned as energy from qualifying wind-powered generating facilities is produced and sold and are based on a per-kilowatt hour rate pursuant to the applicable federal income tax law. Wind-powered generating facilities are eligible for the credits for 10 years from the date the qualifying generating facilities were placed in service.

MidAmerican Energy's earnings for the three- and six-month periods ended June 30, 2012, reflect $16 million of federal income tax benefits recognized in connection with an income tax method change for income tax years prior to 2012. MidAmerican Energy changed the method by which it determines current income tax deductions for repair costs related to its regulated utility electric transmission and distribution assets based on guidance published by the Internal Revenue Service. Application of this guidance results in current deductibility for those costs, which are capitalized for book purposes. MidAmerican Energy retroactively applied the method change, deducted amounts related to prior years' costs on its 2011 tax return and recognized the change in the second quarter of 2012. State utility rate regulation in Iowa requires the tax effect of certain temporary differences be flowed through immediately to customers. Therefore, certain deferred amounts that would otherwise have been recognized in income tax expense have been included as changes in regulatory assets.

Berkshire Hathaway includes MEHC and subsidiaries in its United States federal income tax return. Consistent with established regulatory practice, MidAmerican Funding's and MidAmerican Energy's provisions for income taxes have been computed on a stand-alone basis, and substantially all of their currently payable or receivable income taxes are remitted to or received from MEHC. MidAmerican Funding made net cash payments for income taxes to MEHC totaling $86 million for the six-month period ended June 30, 2013, and received net cash receipts for income taxes totaling $498 million for the six-month period ended June 30, 2012.