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Taxes (Tables)
 12 Months Ended
Dec. 31, 2023
Income Tax Disclosure [Abstract]  
Income before income taxes
($ in millions)
For the year ended December 31:2023 20222021
Income/(loss) from continuing operations before income taxes
U.S. operations (1)
$(227)$(6,602)$(2,654)
Non-U.S. operations8,917 7,758 7,491 
Total income from continuing operations before income taxes$8,690 $1,156 $4,837 
(1) 2022 includes the impact of a one-time, non-cash pension settlement charge. Refer to note V, “Retirement-Related Benefits,” for additional information.
Components of the provision for income taxes by geographic operations and taxing jurisdiction
The income from continuing operations provision for/(benefit from) income taxes by geographic operations was as follows:
($ in millions)
For the year ended December 31:202320222021
U.S. operations$(574)$(2,272)$(969)
Non-U.S. operations1,750 1,645 1,093 
Total continuing operations provision for/(benefit from) income taxes$1,176 $(626)$124 
The components of the income from continuing operations provision for/(benefit from) income taxes by taxing jurisdiction were as follows:
($ in millions)
For the year ended December 31:202320222021
U.S. federal
Current$560 $391 $374 
Deferred(1,371)(2,645)(1,358)
$(811)$(2,253)$(984)
U.S. state and local
Current$127 $184 $161 
Deferred(162)(486)(370)
$(34)$(302)$(209)
Non-U.S.
Current$1,594 $1,676 $1,342 
Deferred428 252 (25)
$2,022 $1,929 $1,317 
Total continuing operations provision for/(benefit from) income taxes$1,176 $(626)$124 
Discontinued operations provision for/(benefit from) income taxes$(9)$124 $714 
Total provision for/(benefit from) income taxes$1,167 $(503)$838 
Effective income tax rate reconciliation
A reconciliation of the statutory U.S. federal tax rate to the company’s effective tax rate from continuing operations was as follows:
For the year ended December 31:202320222021
Statutory rate21 %21 %21 %
Tax differential on foreign income (1)
(3)(29)(10)
Domestic incentives (1)
(5)(24)(5)
State and local (1)
0 (21)(3)
Other (1)
1 (1)0 
Effective rate14 %(54)%3 %
(1) 2022 includes the impacts of the pension settlement charge on tax differential on foreign income, domestic incentives, state and local, and other of (24) points, (20) points, (21) points, and (1) point, respectively.
Percentages rounded for disclosure purposes.
Components of deferred tax assets and liabilities
Deferred Tax Assets
($ in millions)
At December 31:20232022
Retirement benefits$2,269 $1,954 
Leases1,055 927 
Share-based and other compensation720 608 
Domestic tax loss/credit carryforwards2,194 1,798 
Deferred income682 633 
Foreign tax loss/credit carryforwards651 845 
Bad debt, inventory and warranty reserves305 383 
Depreciation205 247 
Restructuring charges94 101 
Accruals253 215 
Intangible assets2,774 2,879 
Capitalized research and development3,524 3,012 
Other1,141 1,157 
Gross deferred tax assets15,868 14,759 
Less: valuation allowance765 770 
Net deferred tax assets$15,103 $13,989 
Deferred Tax Liabilities
($ in millions)
At December 31:20232022
Goodwill and intangible assets$3,054 $3,156 
GILTI deferred taxes2,195 2,483 
Leases and right-of-use assets1,369 1,174 
Depreciation523 505 
Retirement benefits1,443 1,609 
Deferred transition costs47 56 
Undistributed foreign earnings192 87 
Other770 955 
Gross deferred tax liabilities$9,593 $10,025 
Reconciliation of the beginning and ending amount of unrecognized tax benefits A reconciliation of the beginning and ending amount of unrecognized tax benefits was as follows:
($ in millions)
202320222021
Balance at January 1$8,728 $8,709 $8,568 
Additions based on tax positions related to the current year296 355 934 
Additions for tax positions of prior years231 174 247 
Reductions for tax positions of prior years (including impacts due to a lapse of statute)(457)(470)(688)
Settlements(26)(41)(352)
Balance at December 31$8,772 $8,728 $8,709