INCOME TAXES - DOLLAR THRIFTY (Tables)

12 Months Ended

Dec. 31, 2012

Dec. 31, 2011

Dollar Thrifty Automotive Group Inc.

Income taxes

Schedule of income tax expense

The total provision (benefit) for taxes on income consists of the following (in millions of dollars):

	Years ended December 31,
	2012			2011			2010
Current:
Federal	$	20.1		$	10.3		$	10.2
Foreign	32.3			30.6			41.5
State and local	39.1			28.5			1.5
Total current	91.5			69.4			53.2
Deferred:
Federal	141.9			82.4			(18.6		)
Foreign	11.9			(3.2		)	1.3
State and local	(18.2		)	(4.8		)	(2.6		)
Total deferred	135.6			74.4			(19.9		)
Total provision (benefit)	$	227.1		$	143.8		$	33.3

	Year Ended December 31,
	2011		2010		2009
	(In Thousands)
Current:
Federal	$	6,019	$	79	$	4,867
State and local		8,184		12,535		13,417
Foreign		837		631		848
		15,040		13,245		19,132
Deferred:
Federal		78,316		70,968		19,365
State and local		8,336		5,989		(2,511	)
		86,652		76,957		16,854
	$	101,692	$	90,202	$	35,986

Schedule of Deferred Tax Assets and Liabilities

The principal items of the U.S. and foreign net deferred tax assets and liabilities at December 31, 2012 and 2011 are as follows (in millions of dollars):

	2012			2011
Deferred Tax Assets:
Employee benefit plans	$	103.6		$	102.8
Net operating loss carryforwards	1,610.9			1,743.5
Foreign tax credit carryforwards	20.8			20.8
Federal, state and foreign local tax credit carryforwards	26.8			15.0
Accrued and prepaid expenses	341.7			327.4
Total Deferred Tax Assets	2,103.8			2,209.5
Less: Valuation Allowance	(226.4		)	(186.7		)
Total Net Deferred Tax Assets	1,877.4			2,022.8
Deferred Tax Liabilities:
Depreciation on tangible assets	(3,081.4		)	(2,742.3		)
Intangible assets	(1,477.1		)	(942.4		)
Total Deferred Tax Liabilities	(4,558.5		)	(3,684.7		)
Net Deferred Tax Liability	$	(2,681.1	)	$	(1,661.9	)

	December 31,
	2011			2010
	(In Thousands)
Deferred tax assets:
Intangible asset amortization	$	32,744		$	37,176
Vehicle insurance reserves		30,183			38,456
Other accrued liabilities		27,450			33,621
Interest rate swap		—			15,267
AMT credit carryforward		—			7,252
Canadian NOL carryforwards		16,561			17,650
Other Canadian temporary differences		6,278			6,462
Federal and state NOL carryforwards		50,993			5,723
Allowance for doubtful accounts and notes receivable		1,036			1,729
Canadian depreciation		1,834			1,862
		167,079			165,198
Valuation allowance		(24,705	)		(26,042	)
Total	$	142,374		$	139,156
Deferred tax liabilities:
Depreciation	$	484,942		$	381,078
Other		394			1,008
Total	$	485,336		$	382,086

Summary of reconciliation of taxes at the maximum U.S. statutory federal income tax rate with recorded taxes

The significant items in the reconciliation of the statutory and effective income tax rates consisted of the following:

	Years ended December 31,
	2012		2011		2010
Statutory Federal Tax Rate	35.0	%	35.0	%	35.0	%
Foreign tax differential	(3.2	)	(3.3	)	(32.1	)
State and local income taxes, net of federal income tax benefit	2.9		3.2		(5.2	)
Change in state statutory rates, net of federal income tax benefit	(1.0	)	0.5		5.1
Federal and foreign permanent differences	2.3		(1.1	)	(24.0	)
Withholding taxes	1.7		2.0		26.2
Uncertain tax positions	(0.6	)	(0.8	)	11.2
Change in valuation allowance	7.9		0.6		85.1
All other items, net	0.2		2.4		1.8
Effective Tax Rate	45.2	%	38.5	%	103.1	%

	Year Ended December 31,
	2011						2010						2009
	Amount			Percent			Amount			Percent			Amount			Percent
	(Amounts in Thousands)
Tax expense computed at the maximum U.S. statutory rate	$	91,435			35.0	%	$	77,496			35.0	%	$	28,353			35.0	%
Difference resulting from:
State and local taxes, net of federal income tax benefit		11,132			4.2	%		12,056			5.4	%		7,007			8.6	%
Foreign (income) losses		(623	)		(0.2	)%		1,522			0.7	%		1,111			1.4	%
Foreign taxes		586			0.2	%		416			0.2	%		633			0.8	%
Other		(838	)		(0.3	)%		(1,288	)		(0.6	)%		(1,118	)		(1.4	)%
Total	$	101,692			38.9	%	$	90,202			40.7	%	$	35,986			44.4	%