Income Taxes (Tables)

12 Months Ended

Jan. 30, 2016

Income Tax Disclosure [Abstract]

Reconciliation of the federal statutory income tax rate to income tax expense

The following is a reconciliation of the federal statutory income tax rate to income tax expense in fiscal 2016, 2015 and 2014 ($ in millions):

	2016			2015			2014
Federal income tax at the statutory rate	$	458		$	485		$	379
State income taxes, net of federal benefit	38			43			26
(Benefit) expense from foreign operations	5			(23		)	(23		)
Other	2			(11		)	6
Legal entity reorganization	—			(353		)	—
Income tax expense	$	503		$	141		$	388
Effective income tax rate	38.4		%	10.1		%	35.8		%

Earning before income tax expense and equity in income (loss) of affiliates

Earnings from continuing operations before income tax expense by jurisdiction was as follows in fiscal 2016, 2015 and 2014 ($ in millions):

	2016		2015		2014
United States	$	1,310	$	1,201	$	699
Outside the United States	—		186		384
Earnings from continuing operations before income tax expense	$	1,310	$	1,387	$	1,083

Components of income tax expense

Income tax expense was comprised of the following in fiscal 2016, 2015 and 2014 ($ in millions):

	2016			2015			2014
Current:
Federal	$	347		$	354		$	305
State	48			51			46
Foreign	60			33			55
	455			438			406
Deferred:
Federal	65			(275		)	(22		)
State	10			(26		)	1
Foreign	(27		)	4			3
	48			(297		)	(18		)
Income tax expense	$	503		$	141		$	388

Deferred income tax assets and liabilities

Deferred taxes are the result of differences between the bases of assets and liabilities for financial reporting and income tax purposes. Deferred tax assets and liabilities were comprised of the following ($ in millions):

	January 30, 2016			January 31, 2015
Accrued property expenses	$	175		$	129
Other accrued expenses	78			91
Deferred revenue	99			93
Compensation and benefits	99			103
Stock-based compensation	86			94
Goodwill and intangibles	253			287
Loss and credit carryforwards	133			156
Other	86			88
Total deferred tax assets	1,009			1,041
Valuation allowance	(108		)	(143		)
Total deferred tax assets after valuation allowance	901			898
Property and equipment	(296		)	(251		)
Inventory	(69		)	(54		)
Other	(26		)	(27		)
Total deferred tax liabilities	(391		)	(332		)
Net deferred tax assets	$	510		$	566

Schedule of deferred tax assets and liabilities included in consolidated balance sheets

Deferred tax assets and liabilities included in our Consolidated Balance Sheets were as follows ($ in millions):

	January 30, 2016		January 31, 2015
Other assets	$	510	$	574
Long-term liabilities held for sale	—		(8		)
Net deferred tax assets	$	510	$	566

Reconciliation of changes in unrecognized tax benefits

The following table provides a reconciliation of changes in unrecognized tax benefits for fiscal 2016, 2015 and 2014 ($ in millions):

	2016			2015			2014
Balance at beginning of period	$	410		$	370		$	383
Gross increases related to prior period tax positions	30			33			38
Gross decreases related to prior period tax positions	(13		)	(88		)	(67		)
Gross increases related to current period tax positions	59			114			34
Settlements with taxing authorities	(9		)	(9		)	(3		)
Lapse of statute of limitations	(8		)	(10		)	(15		)
Balance at end of period	$	469		$	410		$	370