Income Taxes (Tables)

12 Months Ended

Dec. 31, 2013

Income Tax Disclosure [Abstract]

Income Tax Expense

The components of CenterPoint Houston’s income tax expense were as follows:

	Year Ended December 31,
	2013			2012			2011
	(in millions)
Current income tax expense:
Federal	$	201		$	160		$	80
State	20			22			19
Total current expense	221			182			99
Deferred income tax expense (benefit):
Federal	(75		)	(69		)	146
State	—			—			3
Total deferred expense (benefit)	(75		)	(69		)	149
Total income tax expense	$	146		$	113		$	248

Reconciliation Of Expected Federal Income Tax Expense To Actual

A reconciliation of the expected federal income tax expense using the federal statutory income tax rate to the actual income tax expense and resulting effective income tax rate is as follows:

	Year Ended December 31,
	2013			2012			2011
	(in millions)
Income before income taxes and extraordinary item	$	415		$	392		$	736
Federal statutory income tax rate	35.0		%	35.0		%	35.0		%
Expected federal income tax expense	145			137			258
Increase (decrease) in tax expense resulting from:
State income tax expense, net of federal income tax	13			14			15
Amortization of investment tax credit	—			(1		)	(6		)
Decrease in settled and uncertain tax positions	(5		)	(26		)	(4		)
Other, net	(7		)	(11		)	(15		)
Total	1			(24		)	(10		)
Total income tax expense	$	146		$	113		$	248
Effective tax rate	35.2		%	28.8		%	33.7		%

Income Tax Asset Liability Disclosure

The tax effects of temporary differences that give rise to significant portions of deferred tax assets and liabilities were as follows:

	December 31,
	2013		2012
	(in millions)
Deferred tax assets:
Current:
Allowance for doubtful accounts	$	1	$	1
Other	2		—
Total current deferred tax assets	3		1
Non-current:
Employee benefits	80		95
Other	17		9
Total non-current deferred tax assets	97		104
Total deferred tax assets	100		105
Deferred tax liabilities:
Non-current:
Depreciation	1,166		1,103
Regulatory assets, net	966		1,098
Total deferred tax liabilities	2,132		2,201
Accumulated deferred income taxes, net	$	2,032	$	2,096

Rollforward Of Unrecognized Tax Benefits

Uncertain Income Tax Positions. The following table reconciles the beginning and ending balance of CenterPoint Houston’s unrecognized tax benefits:

	December 31,
	2013		2012			2011
	(in millions)
Balance, beginning of year	$	—	$	44		$	232
Tax Positions related to prior years:
Additions	—		—			—
Reductions	—		(46		)	(192		)
Tax Positions related to current year:
Additions	—		—			4
Settlements	—		2			—
Balance, end of year	$	—	$	—		$	44