Exelon 2014 Annual Report Download - page 225

Combined Notes to Consolidated Financial Statements—(Continued)
(Dollars in millions, except per share data unless otherwise noted)
The following table provides Exelon’s carryforwards and any corresponding valuation allowances as of December 31, 2014.
Exelon
Federal
Federal general business credits carryforward ................................................................. 184
(a)
State
State net operating losses and other credit carryforwards ....................................................... 3,141(b)
Deferred taxes on state tax attributes (net) .................................................................... 169
Valuation allowance on state tax attributes .................................................................... 50
(a) Exelon’s federal general business credit carryforwards will expire beginning in 2032.
(b) Exelon’s state net operating losses and other carryforwards, which are presented on a post-apportioned basis, will expire beginning in 2015.
Tabular reconciliation of unrecognized tax benefits
The following table provides a reconciliation of Exelon’s unrecognized tax benefits as of December 31, 2014, 2013 and 2012:
Unrecognized tax benefits at January 1, 2014 ................................................................. $2,175
Increases based on tax positions related to 2014 .............................................................. 15
Change to positions that only affect timing .................................................................... (255)
Increases based on tax positions prior to 2014 ................................................................ 18
Decreases based on tax positions prior to 2014 ............................................................... (1)
Decrease from settlements with taxing authorities ............................................................. (35)
Decreases from expiration of statute of limitations ............................................................. (88)
Unrecognized tax benefits at December 31, 2014 .............................................................. $1,829
Unrecognized tax benefits at January 1, 2013 ................................................................. $1,024
Increases based on tax positions related to 2013 .............................................................. 19
Change to positions that only affect timing .................................................................... 649
Increases based on tax positions prior to 2013 ................................................................ 493
Decreases based on tax positions prior to 2013 ............................................................... (6)
Decreases from expiration of statute of limitations ............................................................. (4)
Unrecognized tax benefits at December 31, 2013 .............................................................. $2,175
Unrecognized tax benefits at January 1, 2012 ................................................................. $ 807
Merger balance transfer ................................................................................... 195
Increases based on tax positions related to 2012 .............................................................. 34
Change to positions that only affect timing .................................................................... (88)
Increases based on tax positions prior to 2012 ................................................................ 91
Decreases based on tax positions prior to 2012 ............................................................... (6)
Decreases related to settlements with taxing authorities ........................................................ (2)
Decreases from expiration of statute of limitations ............................................................. (7)
Unrecognized tax benefits at December 31, 2012 .............................................................. $1,024
Included in Exelon’s unrecognized tax benefits balance at December 31, 2014 and 2013 are approximately $1,129 million and
$1,387 million, respectively, of tax positions for which the ultimate tax benefit is highly certain, but for which there is uncertainty
about the timing of such benefits. The disallowance of such positions would not materially affect the annual effective tax rate but
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