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Income Taxes (Tables)
12 Months Ended
Dec. 31, 2011
Income Taxes [Abstract]  
Income tax expenses from continuing operations
                         
    2011     2010     2009  
    (In Thousands)  

Current:

                       

Federal

  $ 452,713     $ 145,161     ($ 433,105

Foreign

    130       131       154  

State

    152,711       19,313       (108,552
   

 

 

   

 

 

   

 

 

 

Total

    605,554       164,605       (541,503

Deferred and non-current — net

    (311,708     468,698       1,191,418  

Investment tax credit adjustments — net

    (7,583     (16,064     (17,175
   

 

 

   

 

 

   

 

 

 

Income tax expense from continuing operations

  $ 286,263     $ 617,239     $ 632,740  
   

 

 

   

 

 

   

 

 

 
Total income taxes for Entergy Corporation and Subsidiaries
                         
    2011     2010     2009  
    (In Thousands)  

Net income attributable to Entergy Corporation

  $ 1,346,439     $ 1,250,242     $ 1,231,092  

Preferred dividend requirements of subsidiaries

    20,933       20,063       19,958  
   

 

 

   

 

 

   

 

 

 

Consolidated net income

    1,367,372       1,270,305       1,251,050  

Income taxes

    286,263       617,239       632,740  
   

 

 

   

 

 

   

 

 

 

Income before income taxes

  $ 1,653,635     $ 1,887,544     $ 1,883,790  
   

 

 

   

 

 

   

 

 

 

Computed at statutory rate (35%)

  $ 578,772     $ 660,640     $ 659,327  

Increases (reductions) in tax resulting from:

                       

State income taxes net of federal income tax effect

    93,940       40,530       65,241  

Regulatory differences - utility plant items

    39,970       31,473       57,383  

Equity component of AFUDC

    (30,184     (16,542     (17,741

Amortization of investment tax credits

    (14,962     (15,980     (16,745

Net-of-tax regulatory liability (a)

    65,357       —         —    

Deferred tax reversal on PPA settlement (a)

    (421,819     —         —    

Write-off of reorganization costs

    —         (19,974     —    

Tax law change-Medicare Part D

    —         13,616       —    

Decommissioning trust fund basis

    —         —         (7,917

Capital gains / (losses)

    —         —         (28,051

Flow-through / permanent differences

    (17,848     (26,370     (31,745

Provision for uncertain tax positions

    2,698       (43,115     (17,435

Valuation allowance

    —         —         (40,795

Other - net

    (9,661     (7,039     11,218  
   

 

 

   

 

 

   

 

 

 

Total income taxes as reported

  $ 286,263     $ 617,239     $ 632,740  
   

 

 

   

 

 

   

 

 

 

Effective Income Tax Rate

    17.3     32.7     33.6

 

(a) See “Income Tax Audits - 2006-2007 IRS Audit” below for discussion of these items.
Significant components of accumulated deferred income taxes and taxes accrued
                 
    2011     2010  
    (In Thousands)  

Deferred tax liabilities:

               

Plant basis differences - net

  ($ 7,349,990   ($ 6,572,627

Regulatory asset for income taxes - net

    (430,807     (449,266

Power purchase agreements

    (17,138     (265,429

Nuclear decommissioning trusts

    (553,558     (439,481

Other

    (686,006     (679,302
   

 

 

   

 

 

 

Total

    (9,037,499     (8,406,105
   

 

 

   

 

 

 

Deferred tax assets:

               

Accumulated deferred investment tax credit

    108,338       111,170  

Pension and other post-employment benefits

    315,134       161,730  

Nuclear decommissioning liabilities

    612,945       285,889  

Sale and leaseback

    217,430       256,157  

Provision for regulatory adjustments

    97,607       100,504  

Provision for contingencies

    28,504       28,554  

Unbilled/deferred revenues

    12,217       18,642  

Customer deposits

    14,825       15,724  

Net operating loss carryforwards

    253,518       123,710  

Capital losses

    12,995       56,602  

Other

    96,676       19,009  

Valuation allowance

    (85,615     (70,089
   

 

 

   

 

 

 

Total

    1,684,574       1,107,602  
   

 

 

   

 

 

 

Noncurrent accrued taxes (including unrecognized tax benefits)

    (814,597     (1,261,455
   

 

 

   

 

 

 

Accumulated deferred income taxes and taxes accrued

  ($ 8,167,522   ($ 8,559,958
   

 

 

   

 

 

 
Entergy's estimated tax attributes carryovers and their expiration dates
                 

Carryover Description

  Carryover Amount     Year(s) of expiration  

Federal net operating losses

    $9 billion       2023-2031  

State net operating losses

    $8 billion       2012-2031  

State capital losses

    $162 million       2013-2015  

Federal minimum tax credits

    $79 million       never  

Other federal and state credits

    $80 million       2012-2031  
Reconciliation of unrecognized tax benefits
                         
    2011     2010     2009  
    (In Thousands)  

Gross balance at January 1

  $ 4,949,788     $ 4,050,491     $ 1,825,447  

Additions based on tax positions related to the current year

    211,966       480,843       2,286,759  

Additions for tax positions of prior years

    332,744       871,682       697,615  

Reductions for tax positions of prior years

    (259,895     (438,460     (372,862

Settlements

    (841,528     (10,462     (385,321

Lapse of statute of limitations

    (5,295     (4,306     (1,147
   

 

 

   

 

 

   

 

 

 

Gross balance at December 31

    4,387,780       4,949,788       4,050,491  

Offsets to gross unrecognized tax benefits:

                       

Credit and loss carryovers

    (3,212,397     (3,771,301     (3,349,589

Cash paid to taxing authorities

    (363,266     (373,000     (373,000
   

 

 

   

 

 

   

 

 

 

Unrecognized tax benefits net of unused tax attributes and payments (1)

  $ 812,117     $ 805,487     $ 327,902  
   

 

 

   

 

 

   

 

 

 

 

(1) Potential tax liability above what is payable on tax returns