Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

The components of deferred income taxes at December 31, 2019 and 2018 are as follows:



	2019		2018
Deferred tax assets relating to:
Retirement benefits	$	211	$	226
Accrued expenses	280		301
Insurance reserves	114		96
Net operating loss carryforwards	4		7
Bad debt reserves	82		104
State income tax	11		32
Deferred compensation	22		20
Unrealized losses on securities	—		41
Other	77		72
Total deferred tax assets	801		899
Deferred tax liabilities relating to:
Investment basis difference	78		52
Unrealized gains on securities	153		—
Intangible assets:
Trademarks and state Medicaid licenses	1,529		1,529
Customer, provider and hospital relationships	239		290
Internally developed software and other amortization differences	528		461
Retirement benefits	194		183
Debt discount	19		27
State deferred tax	77		105
Depreciation and amortization	48		47
Other	163		165
Total deferred tax liabilities	3,028		2,859
Net deferred tax liability	$	2,227	$	1,960

Components Of Provision For Income Taxes

Significant components of the provision for income taxes for the years ended December 31, 2019, 2018 and 2017 consist of the following:



	2019		2018		2017
Current tax expense:
Federal	$	1,019	$	1,128	$	1,356
State and local	84		78		39
Total current tax expense	1,103		1,206		1,395
Deferred tax expense (benefit)	75		112		(1,274		)
Total income tax expense	$	1,178	$	1,318	$	121

Reconciliation Of Income Tax Expense Computed At The Statutory Federal Income Tax Rate

A reconciliation of income tax expense recorded in the consolidated statements of income and amounts computed at the statutory federal income tax rate for the years ended December 31, 2019, 2018 and 2017 is as follows:



	2019					2018					2017
	Amount			Percent		Amount			Percent		Amount			Percent
Amount at statutory rate	$	1,257		21.0	%	$	1,064		21.0	%	$	1,387		35.0	%
State and local income taxes net of federal tax expense/benefit	138			2.3		63			1.2		(2		)	(0.1	)
Tax exempt interest and dividends received deduction	(24		)	(0.4	)	(27		)	(0.5	)	(58		)	(1.4	)
HIP Fee	—			—		324			6.4		—			—
Tax Cuts and Jobs Act	—			—		(28		)	(0.6	)	(1,108		)	(27.9	)
Other, net	(193		)	(3.2	)	(78		)	(1.5	)	(98		)	(2.5	)
Total income tax expense	$	1,178		19.7	%	$	1,318		26.0	%	$	121		3.1	%

Change In The Carrying Amount Of Gross Unrecognized Tax Benefits From Uncertain Tax Positions

The change in the carrying amount of gross unrecognized tax benefits from uncertain tax positions for the years ended December 31, 2019 and 2018 is as follows:



	2019			2018
Balance at January 1	$	241		$	190
Additions based on:
Tax positions related to current year	1			35
Tax positions related to prior years	—			50
Reductions based on:
Tax positions related to prior years	(63		)	(31		)
Settlements with taxing authorities	(33		)	(3		)
Balance at December 31	$	146		$	241