Income Taxes (Tables)

9 Months Ended

Sep. 30, 2024

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 21% to the provision for income taxes as shown in AFG’s Statement of Earnings (dollars in millions):

	Three months ended September 30,								Nine months ended September 30,
	2024				2023				2024				2023
	Amount		% of EBT		Amount		% of EBT		Amount		% of EBT		Amount		% of EBT
Earnings before income taxes (“EBT”)	$	229			$	219			$	804			$	738
Income taxes at statutory rate	$	48	21	%	$	46	21	%	$	169	21	%	$	155	21	%
Effect of:
Employee stock ownership plan dividend paid deduction	(1)		—	%	—		—	%	(3)		(1	%)	(3)		—	%
Tax exempt interest	(1)		—	%	(2)		(1	%)	(3)		(1	%)	(4)		(1	%)
Stock-based compensation	—		—	%	—		—	%	(2)		—	%	(2)		—	%
Change in valuation allowance	(2)		(1	%)	(2)		(1	%)	(2)		—	%	(2)		—	%
Dividends received deduction	—		—	%	—		—	%	(1)		—	%	(1)		—	%
Nondeductible expenses	2		1	%	3		1	%	6		1	%	8		1	%
Adjustment related to sale of subsidiary	—		—	%	—		—	%	4		1	%	—		—	%
Adjustment to prior year taxes	1		—	%	(5)		(2	%)	1		—	%	(5)		(1	%)
Foreign operations	1		—	%	2		1	%	1		—	%	6		1	%
Other	—		—	%	—		—	%	2		—	%	(3)		(1	%)
Provision for income taxes as shown in the statement of earnings	$	48	21	%	$	42	19	%	$	172	21	%	$	149	20	%