United Airlines 2011 Annual Report Download - page 111

Table of Contents
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The significant components of the income tax expense (benefit) are as follows (in millions):
  




Current $11 $3 $ —
Deferred (6) — (6)
$ 5 $3 $ (6)

Current $10 $ — $ 2 $ 1
Deferred (10) (12) (6) —
$— $(12) $(4) $ 1

Current $(1) $ — $ 1
Deferred (16) (16) (158)
$(17) $ (16) $ (157)
The income tax provision differed from amounts computed at the statutory federal income tax rate, as follows (in millions):
  




Income tax provision at statutory rate $298 $100 $199
State income taxes, net of federal income tax benefit (19) (25) 8
Nondeductible acquisition costs (17) (8) (9)
Nondeductible employee meals 12 7 5
Nondeductible interest expense 13 13 —
Derivative market adjustment — — 10
Nondeductible compensation 9 5 5
Valuation allowance (294) (92) (223)
Other, net 3 3 (1)
$ 5 $3 $ (6)

Income tax provision at statutory rate $ 87 $ 135 $(35) $155
State income taxes, net of federal income tax benefit 24 24 1 8
Nondeductible acquisition costs 45 31 14 —
Nondeductible employee meals 8 7 1 3
Nondeductible interest expense 12 12 — —
Change in tax law—Medicare Part D Subsidy 119 119 — —
Nondeductible compensation 13 1 12 —
Goodwill credit (22) (22) — —
Valuation allowance (290) (322) 9 (166)
Tax benefit resulting from intraperiod tax allocation — — (6) —
Other, net 4 3 — 1
$ — $(12) $(4) $ 1
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