Income Taxes (Tables)

12 Months Ended

Dec. 31, 2023

Income Tax Disclosure [Abstract]

Schedule of Income before Income Tax, Domestic and Foreign

The jurisdictional components of income (loss) before income taxes and non-controlling interest on our Consolidated Statements of Operations are as follows (in millions):

	Year Ended December 31,
	2023		2022		2021
U.S.	$	11,176	$	(1,575)	$	(2,317)
International	3,402		4,669		39
Total income (loss) before income taxes and non-controlling interest	$	14,578	$	3,094	$	(2,278)

Schedule of Components of Income Tax Expense (Benefit)

Income tax provision (benefit) included in our reported net income consisted of the following (in millions): 

	Year Ended December 31,
	2023		2022		2021
Current:
Federal	$	130	$	6	$	—
State	1		2		3
Foreign	(1)		11		5
Total current	130		19		8
Deferred:
Federal	2,377		320		(633)
State	15		118		(89)
Foreign	(3)		2		1
Total deferred	2,389		440		(721)
Total income tax provision (benefit)	$	2,519	$	459	$	(713)

Schedule of Effective Income Tax Rate Reconciliation

Our income tax rates do not bear a customary relationship to statutory income tax rates. A reconciliation of the federal statutory income tax rate of 21% to our effective income tax rate is as follows: 

	Year Ended December 31,
	2023		2022		2021
U.S. federal statutory tax rate	21.0	%	21.0	%	21.0	%
Income not taxable to Cheniere	(3.1)		(8.2)		7.2
State tax, net of federal benefit	0.1		0.5		(2.5)
Foreign-derived intangible income deduction	(0.7)		(1.2)		—
Valuation allowance	—		2.6		5.6
Other	—		0.1		—
Effective tax rate as reported	17.3	%	14.8	%	31.3	%

Schedule of Deferred Tax Assets and Liabilities

Significant components of our deferred tax assets and liabilities are as follows (in millions): 

	December 31,
	2023		2022
Deferred tax assets
Net operating loss (“NOL”) carryforwards
Federal	$	915	$	1,968
State	163		177
Federal and state tax credits	33		66
Derivative instruments	98		1,345
Operating lease liabilities	550		542
Other	298		311
Less: valuation allowance (1)	(147)		(143)
Total deferred tax assets	1,910		4,266
Deferred tax liabilities
Investment in partnerships	(309)		(211)
Property, plant and equipment	(2,564)		(2,646)
Operating lease assets	(538)		(536)
Other	(18)		(9)
Total deferred tax liabilities	(3,429)		(3,402)
Net deferred tax assets (liabilities)	$	(1,519)	$	864

(1)Valuation allowance primarily related to state NOL carryforward deferred tax assets and increased by $4 million and $80 million during the years ended December 31, 2023 and 2022, respectively, and decreased by $127 million during year ended December 31, 2021.

Schedule of Unrecognized Tax Benefits Roll Forward

A reconciliation of the beginning and ending amounts of our unrecognized tax benefits is as follows (in millions): 

	Year Ended December 31,
	2023		2022
Balance at beginning of the year	$	74	$	65
Additions based on tax positions related to current year	—		10
Reductions for tax positions of prior years	(1)		(1)
Balance at end of the year	$	73	$	74