(7) Income Taxes

The components of our income tax provision are as follows (in millions):



	Three Months Ended March 31,
	2019		2018
Current income tax provision	$	1.0	$	1.2
Deferred income tax provision	0.8		5.8
Income tax provision	$	1.8	$	7.0

The following schedule reconciles total income tax provision and the amount calculated by applying the statutory U.S. federal tax rate to income before income taxes (in millions):



	Three Months Ended March 31,
	2019			2018
Expected income tax provision (benefit) based on federal statutory rate	$	(36.7	)	$	4.1
State income tax provision (benefit), net of federal benefit	(4.4		)	0.5
Income tax provision from ENLK	0.9			1.0
Unit-based compensation (1)	0.1			1.6
Non-deductible expense related to asset impairment	43.8			—
Other	(1.9		)	(0.2		)
Income tax provision	$	1.8		$	7.0

____________________________


(1)	Related to tax deficiencies recorded upon the vesting of restricted incentive units.

Deferred Tax Assets and Liabilities

Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Our deferred income tax assets and liabilities as of March 31, 2019 and December 31, 2018 are as follows (in millions):



	March 31, 2019			December 31, 2018
Deferred income tax assets:
Federal net operating loss carryforward	$	77.4		$	67.9
State net operating loss carryforward	13.1			11.7
Total deferred tax assets	90.5			79.6
Deferred tax liabilities:
Property, equipment, and intangible assets (1)	(54.0		)	(440.6		)
Other	(0.3		)	(1.4		)
Total deferred tax liabilities	(54.3		)	(442.0		)
Deferred tax asset (liability), net	$	36.2		$	(362.4	)

____________________________


(1)	Includes our investment in ENLK and primarily relates to differences between the book and tax bases of property and equipment.

As a result of the Merger, we acquired all issued and outstanding ENLK common units that were not already held by us or our subsidiaries in exchange for the issuance of ENLC common units. See “Note 1—General” for more information regarding this transaction. This was a taxable exchange to our unitholders, and we received a step-up in tax basis of the underlying assets acquired. In accordance with ASC 810, Consolidation, the step-up in our basis reduced our DTL by $399.0 million, and the resulting DTA will be realized over the tax-basis depreciable life of the underlying assets.

As of March 31, 2019, we had federal net operating loss carryforwards of $368.5 million that represent a net deferred tax asset of $77.4 million. As of December 31, 2018, we had federal net operating loss carryforwards of $323.6 million that represent a net deferred tax asset of $67.9 million. These carryforwards will begin expiring in 2028 through 2038. Management believes that it is more likely than not that the future results of operations will generate sufficient taxable income to utilize these net operating loss carryforwards before they expire.