INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2023

Schedule of domestic and foreign components of income from continuing operations before domestic and foreign income taxes

The following summarizes domestic and foreign components of income from continuing operations before domestic and foreign income taxes for the years ended December 31:


millions	2023		2022		2021
Domestic	$	4,246	$	11,314	$	1,966
Foreign	2,183		2,803		1,739
Total income from continuing operations before income taxes	$	6,429	$	14,117	$	3,705

Schedule of income tax (expense) benefit for domestic and foreign income taxes on continuing operations

The following summarizes components of income tax (expense) benefit on continuing operations for the years ended December 31:


millions	2023		2022		2021
Current
Federal	$	(871)	$	(1,272)	$	(173)
State and local	(92)		(105)		(36)
Foreign	(713)		(1,080)		(660)
Total current tax expense	$	(1,676)	$	(2,457)	$	(869)
Deferred
Federal	(37)		1,569		(191)
State and local	25		57		153
Foreign	(45)		18		(8)
Total deferred tax (expense) benefit	$	(57)	$	1,644	$	(46)
Total income tax expense	$	(1,733)	$	(813)	$	(915)

Schedule of reconciliation of the United States federal statutory income tax rate to Occidental's worldwide effective tax rate on income from continuing operations stated as a percentage of pre-tax income

The following reconciliation of the U.S federal statutory income tax rate to Occidental’s worldwide effective tax rate on income from continuing operations for the years ended December 31 is stated as a percentage of income from continuing operations before income taxes:


	2023		2022		2021
U.S. federal statutory tax rate	21	%	21	%	21	%
Legal entity reorganization	—		(18)		—
Enhanced oil recovery credit and other general business credits	—		—		(3)

Capital loss	—		—		(2)
Tax impact from foreign operations	3		3		8
State income taxes, net of federal benefit	1		—		(2)
Uncertain tax positions	2		—		—



Other	—		—		3
Worldwide effective tax rate	27	%	6	%	25	%

Schedule of tax effects of temporary differences resulting in deferred income taxes

The tax effects of temporary differences resulting in deferred income taxes as of December 31:


millions	2023		2022
Deferred tax liabilities
Property, plant and equipment differences	$	(6,994)	$	(7,218)
Equity investments, partnerships and international subsidiaries	(709)		(441)
Gross long-term deferred tax liabilities	(7,703)		(7,659)

Deferred tax assets
Environmental reserves	223		229
Postretirement benefit accruals	229		235
Deferred compensation and benefits	237		207
Asset retirement obligations	722		799
Foreign tax credit carryforwards	2,759		3,622
Business credit carryforwards	43		30
Net operating loss carryforward	1,056		1,058
Interest expense carryforward	11		11
All other	586		771
Gross long-term deferred tax assets	5,866		6,962
Valuation allowance	(3,901)		(4,785)
Net long-term deferred tax assets	$	1,965	$	2,177
Total deferred income tax liability, net	$	(5,738)	$	(5,482)
Less: foreign deferred tax asset in long-term receivables and other assets, net	(26)		(30)
Total deferred income tax liability	$	(5,764)	$	(5,512)

Schedule of reconciliation of the beginning and ending amount of unrecognized tax benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:


millions	2023		2022		2021
Balance as of January 1	$	2,010	$	2,026	$	2,045
Increases related to prior-year positions	—		2		75
Settlements	—		—		(80)
Reductions for tax positions of prior years	(59)		(18)		(14)
Balance as of December 31	$	1,951	$	2,010	$	2,026