XML 47 R176.htm IDEA: XBRL DOCUMENT v3.19.3.a.u2
EID Income Taxes Rate Reconciliation (Details) - USD ($)
$ in Millions
3 Months Ended 4 Months Ended 8 Months Ended 12 Months Ended
Dec. 31, 2018
Sep. 30, 2018
Jun. 30, 2018
Mar. 31, 2018
Dec. 31, 2017
Aug. 31, 2017
Dec. 31, 2019
Dec. 31, 2018
Tax benefit (charge) related to The Act [Member]                
Other Tax Benefit (Expense) $ (274) $ 16 $ (7) $ (64)        
Brazil Valuation Allowance [Member]                
Other Tax Benefit (Expense)               $ (75)
Continuing Operations [Member]                
Statutory U.S. federal income tax rate         35.00% 35.00% 21.00% 21.00%
Equity earning effect         1.90% (2.70%) 0.10% 0.10%
Effective tax rates on international operations - net [1]         24.30% 244.90% (18.40%) 0.40%
Acquisitions, divestitures, and ownership restructuring activities [3]         63.00% [2] (64.70%) (10.70%) (2.30%) [2],[4]
U.S. research and development credit         1.40% 24.40% 7.00% 0.10%
Exchange gains/losses [5]         (8.80%) 650.10% (1.80%) (1.30%)
SAB 118 Impact of Enactment of U.S. Tax Reform         371.20% [6] 0.00% 0.00% (3.00%) [6]
Impact of Swiss Tax Reform         0.00% 0.00% 11.90% [7] 0.00%
Excess tax benefits (tax deficiency) from stock-compensation         1.00% 38.30% (0.60%) 0.10%
Tax settlements and expiration of statue of limitations         0.00% 146.40% [8] 3.90% (0.10%)
Goodwill impairment         0.00% 0.00% 0.00% (15.20%) [9]
Other, net         (7.20%) (4.10%) 2.20% 0.70%
Effective Income Tax Rate         481.80% 1067.60% 14.60% 0.50%
(Charge) Benefit related to internal legal entity restructuring         $ 261     $ (25)
Continuing Operations [Member] | Repatriation Accrual [Member]                
Other Tax Benefit (Expense)               (50)
Continuing Operations [Member] | Tax benefit (charge) related to The Act [Member]                
Other Tax Benefit (Expense)         $ 2,067     (164)
Continuing Operations [Member] | Swiss Tax Reform [Member]                
Other Tax Benefit (Expense)             $ 38  
Continuing Operations [Member] | Accrued interest reversals [Member]                
Other Tax Benefit (Expense)           $ 46    
Continuing Operations [Member] | Brazil Valuation Allowance [Member]                
Other Tax Benefit (Expense)               $ (75)
EID [Member] | Continuing Operations [Member]                
Statutory U.S. federal income tax rate         35.00% 35.00% 21.00% 21.00%
Equity earning effect         1.90% (2.70%) 0.10% 0.10%
Effective tax rates on international operations - net [10]         24.30% 244.90% (13.80%) 0.40%
Acquisitions, divestitures, and ownership restructuring activities [12]         63.00% [11] (64.70%) (8.00%) (2.30%) [11],[13]
U.S. research and development credit         1.40% 24.40% 5.20% 0.10%
Exchange gains/losses [14]         (8.80%) 650.10% (1.30%) (1.30%)
SAB 118 Impact of Enactment of U.S. Tax Reform         371.20% [6] 0.00% 0.00% (3.00%) [6]
Impact of Swiss Tax Reform         0.00% 0.00% 8.90% [15] 0.00%
Excess tax benefits (tax deficiency) from stock-compensation         1.00% 38.30% (0.50%) 0.10%
Tax settlements and expiration of statue of limitations         0.00% 146.40% [16] 2.90% (0.10%)
Goodwill impairment         0.00% 0.00% 0.00% (15.20%) [17]
Other, net         (7.20%) (4.10%) 2.30% 0.70%
Effective Income Tax Rate         481.80% 1067.60% 16.80% 0.50%
(Charge) Benefit related to internal legal entity restructuring         $ 261     $ (25)
EID [Member] | Continuing Operations [Member] | Repatriation Accrual [Member]                
Other Tax Benefit (Expense)               (50)
EID [Member] | Continuing Operations [Member] | Tax benefit (charge) related to The Act [Member]                
Other Tax Benefit (Expense)         $ 2,067     (164)
EID [Member] | Continuing Operations [Member] | Swiss Tax Reform [Member]                
Other Tax Benefit (Expense)             $ 38  
EID [Member] | Continuing Operations [Member] | Accrued interest reversals [Member]                
Other Tax Benefit (Expense)           $ 46    
EID [Member] | Continuing Operations [Member] | Brazil Valuation Allowance [Member]                
Other Tax Benefit (Expense)               $ (75)
[1]
Includes the effects of local and U.S. taxes related to earnings of non-U.S. subsidiaries, changes in the amount of unrecognized tax benefits associated with these earnings, losses at non-U.S. subsidiaries without local tax benefits due to valuation allowances, and other permanent differences between tax and U.S. GAAP results.
[2]
Includes a net tax charge of $25 million and a net tax benefit of $261 million for the year ended December 31, 2018 and the period September 1 through December 31, 2017, respectively, related to an internal legal entity restructuring associated with the Business Separations.
[3]
See Notes 4 - Common Control Business Combination, and Note 5 - Divestitures and Other Transactions, for additional information.
[4] Includes a net tax charge of $50 million related to repatriation activities to facilitate the Business Separations for the year ended December 31, 2018
[5]
Principally reflects the impact of foreign exchange gains and losses on net monetary assets for which no corresponding tax impact is realized. Further information about the company's foreign currency hedging program is included in Note 9 - Supplementary Information, and Note 22 - Financial Instruments, under the heading Foreign Currency Risk.
[6]
Reflects a net tax benefit of $2,067 million and a net tax charge of $164 million associated with the company's completion of the accounting for the tax effects of The Act for the period September 1 through December 31, 2017 and the year ended December 31, 2018, respectively.
[7]
Reflects tax benefits of $38 million associated with the enactment of the Federal Act on Tax Reform and AHV Financing ("Swiss Tax Reform").
[8]
The period January 1 through August 31, 2017 includes a tax benefit of $46 million related to changes in accruals for certain prior year tax positions and the tax effect of the associated accrued interest reversals.
[9]
Reflects the impact of the non-tax-deductible, non-cash impairment charge for the agriculture reporting unit and corresponding $75 million tax charge associated with a valuation allowance recorded against the net deferred tax asset position of a legal entity in Brazil for the year ended December 31, 2018.
[10]
Includes the effects of local and U.S. taxes related to earnings of non-U.S. subsidiaries, changes in the amount of unrecognized tax benefits associated with these earnings, losses at non-U.S. subsidiaries without local tax benefits due to valuation allowances, and other permanent differences between tax and U.S. GAAP results.
[11]
Includes a net tax charge of $25 million and a net tax benefit of $261 million for the year ended December 31, 2018 and the period September 1 through December 31, 2017, respectively, related to an internal legal entity restructuring associated with the Business Separations.
[12]
See Notes 4 - Common Control Business Combination, and Note 5 - Divestitures and Other Transactions, of the Corteva, Inc. Consolidated Financial Statements for additional information.
[13]
Includes a net tax charge of $50 million related to repatriation activities to facilitate the Business Separations for the year ended December 31, 2018.
[14]
Principally reflects the impact of foreign exchange gains and losses on net monetary assets for which no corresponding tax impact is realized. Further information about the company's foreign currency hedging program is included in Note 9 - Supplementary Information, and Note 22 - Financial Instruments, of the Corteva, Inc. Consolidated Financial Statements under the heading Foreign Currency Risk.
[15]
Reflects tax benefits of $38 million associated with the enactment of the Federal Act on Tax Reform and AHV Financing ("Swiss Tax Reform").
[16]
The period January 1 through August 31, 2017 includes a tax benefit of $46 million related to changes in accruals for certain prior year tax positions and the tax effect of the associated accrued interest reversals.
[17]
Reflects the impact of the non-tax-deductible, non-cash impairment charge for the agriculture reporting unit and corresponding $75 million tax charge associated with a valuation allowance recorded against the net deferred tax asset position of a legal entity in Brazil for the year ended December 31, 2018.