Income Taxes (Tables)

6 Months Ended

Jun. 30, 2017

Income Tax Disclosure [Abstract]

Reconciliation of income taxes at the statutory rate and income taxes shown in the Statement of Earnings

The following is a reconciliation of income taxes at the statutory rate of 35% to the provision for income taxes as shown in AFG’s Statement of Earnings (dollars in millions):

	Three months ended June 30,										Six months ended June 30,
	2017					2016					2017					2016
	Amount			% of EBT		Amount			% of EBT		Amount			% of EBT		Amount			% of EBT
Earnings before income taxes (“EBT”)	$	205				$	136				$	428				$	292
Income taxes at statutory rate	$	72		35	%	$	47		35	%	$	150		35	%	$	102		35	%
Effect of:
Stock-based compensation	(7		)	(3	%)	—			—	%	(13		)	(3	%)	—			—	%
Tax exempt interest	(6		)	(3	%)	(6		)	(4	%)	(12		)	(3	%)	(13		)	(4	%)
Dividends received deduction	(2		)	(1	%)	(2		)	(1	%)	(4		)	(1	%)	(4		)	(1	%)
Employee Stock Ownership Plan dividends paid deduction	(2		)	(1	%)	—			—	%	(2		)	—	%	(1		)	—	%
Change in valuation allowance	2			1	%	32			24	%	—			—	%	33			11	%
Subsidiaries not in AFG’s tax return	—			—	%	1			1	%	—			—	%	2			1	%
Other	3			1	%	1			(1	%)	9			2	%	6			1	%
Provision for income taxes as shown in the statement of earnings	$	60		29	%	$	73		54	%	$	128		30	%	$	125		43	%