Income Taxes (Tables)

6 Months Ended

Jun. 30, 2024

Income Tax Disclosure [Abstract]

Components of Income Tax Expense

The components of income tax expense were:

	Three Months Ended June 30				Six Months Ended June 30
(Dollars in Millions)	2024		2023		2024		2023
Federal
Current	$	321	$	263	$	501	$	660
Deferred	49		33		182		1
Federal income tax	370		296		683		661
State
Current	88		119		109		215
Deferred	(13)		(33)		—		(39)
State income tax	75		86		109		176
Total income tax provision	$	445	$	382	$	792	$	837

Reconciliation of Expected Income Tax Expense at Federal Statutory Rate to the Applicable Income Tax Expense

A reconciliation of expected income tax expense at the federal statutory rate of 21 percent to the Company’s applicable income tax expense follows:

	Three Months Ended June 30				Six Months Ended June 30
(Dollars in Millions)	2024		2023		2024		2023
Tax at statutory rate	$	432	$	368	$	783	$	821
State income tax, at statutory rates, net of federal tax benefit	102		83		183		185
Tax effect of
Tax credits and benefits, net of related expenses	(83)		(63)		(144)		(140)
Exam resolutions	(32)		—		(97)		—
Tax-exempt income	(36)		(41)		(67)		(75)
Other items	62		35		134		46
Applicable income taxes	$	445	$	382	$	792	$	837