Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]

The Provision for income taxes for the years ended December 31 was estimated as follows (in millions):



	2015			2014			2013
Current
Federal	$	(454	)	$	(198	)	$	185
Non-U.S.	161			154			169
State and local	(26		)	(38		)	(55		)
Total current	(319		)	(82		)	299
Deferred
Federal	893			193			—
Non-U.S.	93			(6		)	(29		)
State and local	56			44			7
Total deferred	1,042			231			(22		)
Provision for income taxes	$	723		$	149		$	277

Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]

A reconciliation of the Provision for income taxes with the United States statutory tax rate as a percentage of Income before income taxes for the years ended December 31 is as follows:



	2015		2014		2013
U.S. statutory tax rate	35.0	%	35.0	%	35.0	%
Effect of (in percentage points):
Non-U.S. tax rates under U.S. rate	(3.0	)	(3.0	)	(2.3	)
State and local income taxes	1.0		(0.2	)	(1.0	)
U.S. tax on non-U.S. earnings (a)	0.2		(21.4	)	(15.0	)
Other	(0.2	)	(2.4	)	1.9
Valuation allowance	1.7		—		(2.8	)
Effective tax rate	34.7	%	8.0	%	15.8	%

________


(a)	During 2014, we changed our method for measuring currency gains and losses in computing the earnings of our European operations under U.S. tax law. Implementation of the new method resulted in a reduction of U.S. tax on non-U.S. earnings of approximately $360 million due to realization of additional foreign tax credits.

Schedule of Deferred Tax Assets and Liabilities [Table Text Block]

The components of deferred tax assets and liabilities were as follows (in millions):



	December 31, 2015			December 31, 2014
Deferred tax assets
Net operating loss carryforwards	$	540		$	227
Provision for credit losses	87			140
Other foreign	75			186
Employee benefit plans	10			11
Foreign tax credits	756			685
Other	280			282
Total gross deferred tax assets	1,748			1,531
Less: Valuation allowance	(47		)	(10		)
Total net deferred tax assets	1,701			1,521
Deferred tax liabilities
Leasing transactions	3,338			2,035
Finance receivables	688			647
Other foreign	330			480
Other	18			23
Total deferred tax liabilities	4,374			3,185
Net deferred tax liability	$	2,673		$	1,664

Schedule of Unrecognized Tax Benefits Roll Forward [Table Text Block]

The changes in the unrecognized tax benefits for the years ended December 31 were as follows (in millions):



	2015			2014			2013
Beginning balance	$	111		$	159		$	491
Increase - tax positions in prior periods	9			28			28
Increase - tax positions in current period	1			1			1
Decrease - tax positions in prior periods	(22		)	(44		)	(68		)
Settlements	(8		)	(33		)	(293		)
Ending balance	$	91		$	111		$	159