Comcast 2013 Annual Report Download - page 116

Table of Contents
Comcast Corporation
Components of Net Deferred Tax Liability
Changes in net deferred income tax liabilities in 2013 that were not recorded as deferred income tax expense are primarily related
to increases of $1.6 billion associated with the Redemption Transaction and increases of $25 million related to items included in
other comprehensive income (loss). Our net deferred tax liability includes $23 billion related to cable franchise rights that will remain
unchanged unless we recognize an impairment or dispose of a cable franchise.
Net deferred tax assets included in current assets are primarily related to our current investments and current liabilities. As of
December 31, 2013, we had federal net operating loss carryforwards of $176 million and various state net operating loss
carryforwards that expire in periods through 2033. As of December 31, 2013, we also had foreign net operating loss carryforwards
of $279 million that are related to the foreign operations of NBCUniversal, the majority of which expire in periods through 2023. The
determination of the realization of the state and foreign net operating loss carryforwards is dependent on our subsidiaries’
taxable
income or loss, apportionment percentages, and state and foreign laws that can change from year to year and impact the amount
of such carryforwards. We recognize a valuation allowance if we determine it is more likely than not that some portion, or all, of a
deferred tax asset will not be realized. As of December 31, 2013 and 2012, our valuation allowance was related primarily to state
and foreign net operating loss carryforwards. In 2013, 2012 and 2011, income tax expense attributable to share-
based
compensation of $244 million, $164 million and $38 million, respectively, was allocated to shareholders’ equity.
Uncertain Tax Positions
Our uncertain tax positions as of December 31, 2013 totaled $1.7 billion, which excludes the federal benefits on state tax positions
that were recorded as deferred income taxes. Included in our uncertain tax positions was $283 million related to tax positions of
NBCUniversal and NBCUniversal Enterprise for which we have been indemnified by GE. If we were to recognize the tax benefit for
our uncertain tax positions in the future, $980 million would impact our effective tax rate and the remaining amount would increase
our deferred income tax liability. The amount and timing of the recognition of any such tax benefit is dependent on the completion of
our tax examinations and the expiration of statutes of limitations. A majority of the amount of our uncertain tax positions relates to
positions taken in years before 2007.
December 31 (in millions)
2013
2012
Deferred Tax Assets:
Net operating loss carryforwards
$
495
$
491
Differences between book and tax basis of long
-
term debt
117
109
Nondeductible accruals and other
3,588
1,771
Less: Valuation allowance
405
355
3,795
2,016
Deferred Tax Liabilities:
Differences between book and tax basis of property and equipment and intangible assets
34,044
29,185
Differences between book and tax basis of investments
473
848
Differences between book and tax basis of indexed debt securities
610
587
Differences between book and tax basis of foreign subsidiaries and undistributed foreign earnings
367
—
Differences between book and tax outside basis of NBCUniversal
—
1,413
35,494
32,033
Net deferred tax liability
$
31,699
$
30,017
111
Comcast 2013 Annual Report on Form 10
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K