Income Taxes (Tables)

12 Months Ended

Dec. 31, 2013

Income Tax Disclosure [Abstract]

Provision for Income Taxes

Provision for Income Taxes
(In millions)		2013		2012		2011
GE
Current tax expense	$	4,239	$	2,307	$	5,166
Deferred tax expense (benefit) from temporary differences		(2,571)		(294)		(327)
		1,668		2,013		4,839
GECC
Current tax expense (benefit)		(268)		1,379		783
Deferred tax expense (benefit) from temporary differences		(724)		(858)		123
		(992)		521		906
Consolidated
Current tax expense		3,971		3,686		5,949
Deferred tax expense (benefit) from temporary differences		(3,295)		(1,152)		(204)
Total	$	676	$	2,534	$	5,745

Unrecognized tax benefits

December 31 (In millions)		2013		2012
Unrecognized tax benefits	$	5,816	$	5,445
Portion that, if recognized, would reduce tax expense and effective tax rate(a)		4,307		4,032
Accrued interest on unrecognized tax benefits		975		961
Accrued penalties on unrecognized tax benefits		164		173
Reasonably possible reduction to the balance of unrecognized tax benefits
in succeeding 12 months		0-900		0-800
Portion that, if recognized, would reduce tax expense and effective tax rate(a)		0-350		0-700

(a)Some portion of such reduction might be reported as discontinued operations.

Reconciliation of Unrecognized Tax Benefits

(In millions)		2013		2012
Balance at January 1	$	5,445	$	5,230
Additions for tax positions of the current year		771		293
Additions for tax positions of prior years		872		882
Reductions for tax positions of prior years		(1,140)		(723)
Settlements with tax authorities		(98)		(191)
Expiration of the statute of limitations		(34)		(46)
Balance at December 31	$	5,816	$	5,445

Reconciliation of Income Tax Rate

Reconciliation of U.S. Federal Statutory Income Tax Rate to Actual Income Tax Rate
	Consolidated						GE						GECC
	2013		2012		2011		2013		2012		2011		2013		2012		2011
U.S. federal statutory income
tax rate	35.0	%	35.0	%	35.0	%	35.0	%	35.0	%	35.0	%	35.0	%	35.0	%	35.0	%
Increase (reduction) in rate
resulting from
inclusion of after-tax
earnings of GECC in
before-tax earnings of GE	-		-		-		(16.9)		(15.3)		(11.9)		-		-		-
Tax on global activities
including exports(a)	(24.7)		(12.5)		(10.4)		(4.1)		(4.3)		(5.2)		(45.0)		(18.4)		(14.7)
NBCU gain	(0.7)		-		9.3		(0.7)		-		9.8		-		-		-
Business Property disposition	-		(1.9)		-		-		-		-		-		(4.2)		-
U.S. business credits(b)	(3.6)		(2.6)		(3.2)		(1.5)		(0.7)		(1.5)		(4.6)		(4.3)		(4.7)
All other – net	(1.8)		(3.4)		(2.2)		(2.0)		(2.7)		(0.9)		1.0		(1.5)		(3.5)
	(30.8)		(20.4)		(6.5)		(25.2)		(23.0)		(9.7)		(48.6)		(28.4)		(22.9)
Actual income tax rate	4.2	%	14.6	%	28.5	%	9.8	%	12.0	%	25.3	%	(13.6)	%	6.6	%	12.1	%

• Included (6.0)% and (13.3)% in consolidated and GECC, respectively, related to the sale of 68.5% of our Swiss consumer finance bank, Cembra Money Bank AG (Cembra), through an initial public offering in 2013.
• U.S. general business credits, primarily the credit for manufacture of energy efficient appliances, the credit for energy produced from renewable sources, the advanced energy project credit, the low-income housing credit and the credit for research performed in the U.S.

Components Of Deferred Income Tax

December 31 (In millions)		2013		2012
Assets
GE	$	15,284	$	19,745
GECC		13,224		11,876
		28,508		31,621
Liabilities
GE		(10,223)		(13,799)
GECC		(18,010)		(17,876)
		(28,233)		(31,675)
Net deferred income tax asset (liability)	$	275	$	(54)

Schedule of Deferred Tax Assets and Liabilities

December 31 (In millions)		2013		2012
GE
Provision for expenses(a)	$	5,934	$	6,503
Principal pension plans		3,436		6,567
Retiree insurance plans		3,154		3,800
Non-U.S. loss carryforwards(b)		874		942
Contract costs and estimated earnings		(3,550)		(3,087)
Intangible assets		(2,268)		(2,269)
Depreciation		(1,079)		(698)
Investment in global subsidiaries		(1,077)		(921)
Investment in NBCU LLC		-		(4,937)
Other – net		(363)		46
		5,061		5,946
GECC
Operating leases		(6,284)		(6,141)
Financing leases		(4,075)		(4,506)
Intangible assets		(1,943)		(1,666)
Cash flow hedges		(163)		(115)
Net unrealized gains (losses) on securities		(145)		(314)
Non-U.S. loss carryforwards(b)		3,791		3,049
Allowance for losses		2,640		1,975
Investment in global subsidiaries		1,883		1,689
Other – net		(490)		29
		(4,786)		(6,000)
Net deferred income tax asset (liability)	$	275	$	(54)

(a)Represented the tax effects of temporary differences related to expense accruals for a wide variety of items, such as employee compensation and benefits, other pension plan liabilities, interest on tax liabilities, product warranties and other sundry items that are not currently deductible.

(b)Net of valuation allowances of $2,089 million and $1,712million for GE and $862million and $628million for GECC, for 2013 and 2012, respectively. Of the net deferred tax asset as of December 31, 2013, of $4,665million, $30million relates to net operating loss carryforwards that expire in various years ending from December 31, 2014, through December 31, 2016; $478million relates to net operating losses that expire in various years ending from December 31, 2017 through December 31, 2030 and $4,157million relates to net operating loss carryforwards that may be carried forward indefinitely.