9. Income Taxes

The following summarizes income tax expense (benefit) and effective tax rates:



	Three Months Ended March 31,
millions except percentages	2017			2016
Income tax expense (benefit)	$	97		$	(383	)
Income (loss) before income taxes	(178		)	(1,381		)
Effective tax rate	(54		)%	28		%

The Company reported a loss before income taxes for the three months ended March 31, 2017 and 2016. As a result, items that ordinarily increase or decrease the tax rate will have the opposite effect. The decrease from the 35% U.S. federal statutory rate for the three months ended March 31, 2017, was primarily attributable to the following decreases:


•	state taxes, net of federal benefit


•	non-deductible Algerian exceptional profits tax for Algerian income tax purposes


•	tax impact from foreign operations


•	net changes in uncertain tax positions


•	tax deficiency related to share-based compensation due to the adoption of ASU 2016-09, see Note 1—Summary of Significant Accounting Policies

These decreases were partially offset by the following increases:

•income attributable to noncontrolling interests

•federal manufacturing deduction

The decrease from the 35% U.S. federal statutory rate for the three months ended March 31, 2016, was primarily attributable to non-deductible Algerian exceptional profits tax for Algerian income tax purposes, the tax impact from foreign operations, and net changes in uncertain tax positions.

At March 31, 2017, the Company’s Consolidated Balance Sheet included $167 million of income taxes receivable presented in accounts receivable—others.