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Income Taxes
6 Months Ended
Jun. 30, 2014
Income Tax Disclosure [Abstract]  
Income Taxes
Income Taxes
Taxes on income for the second quarter and first six months of 2014 were $3.3 billion and $6.7 billion, respectively, compared with $3.2 billion and $7.2 billion for the corresponding periods in 2013. The associated effective tax rates (calculated as the amount of Income Tax Expense divided by Income Before Income Tax Expense) for the second quarters of 2014 and 2013 were 37 percent in each period. For the comparative six-month periods, the effective tax rates were 40 percent and 38 percent, respectively.

For the quarterly and six-month comparisons, the effects on the effective tax rate of the sale of interests in Chad and Cameroon were substantially offset by foreign currency remeasurement impacts between periods. For the six-month comparative period, the increase in effective tax rate was primarily due to the net impact of changes in equity earnings, jurisdictional mix, and ongoing and one-time tax items.
Tax positions for Chevron and its subsidiaries and affiliates are subject to income tax audits by many tax jurisdictions throughout the world. For the company’s major tax jurisdictions, examinations of tax returns for certain prior tax years had not been completed as of June 30, 2014. For these jurisdictions, the latest years for which income tax examinations had been finalized were as follows: United States — 2008, Nigeria — 2000, Angola — 2001, Saudi Arabia — 2012 and Kazakhstan — 2007.
The company engages in ongoing discussions with tax authorities regarding the resolution of tax matters in the various jurisdictions. Both the outcomes for these tax matters and the timing of resolution and/or closure of the tax audits are highly uncertain. However, it is reasonably possible that developments regarding tax matters in certain tax jurisdictions may result in significant increases or decreases in the company’s total unrecognized tax benefits within the next 12 months. Given the number of years that still remain subject to examination and the number of matters being examined in the various tax jurisdictions, the company is unable to estimate the range of possible adjustments to the balance of unrecognized tax benefits.