Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

Income Tax Disclosure [Abstract]

Reconciliation of Statutory U.S. Corporate Federal Income Tax Rate to Effective Income Tax Rate

A reconciliation of the statutory U.S. corporate federal income tax rate to the Company’s effective tax rate follows:

		2015		2014		2013
U.S. federal income tax rate		35.0	%	35.0	%	35.0	%
Changes in rate due to:
	U.S. State and local taxes	1.0		0.9		0.6
	U.S. tax benefit on foreign dividends	(0.9	)	(3.8	)	(3.3	)
	Taxes on foreign earnings	(6.8	)	(8.7	)	(7.4	)
	PPG dividends paid to the ESOP	(0.3	)	(0.4	)	(0.4	)
	U.S. tax incentives	(1.8	)	(2.2	)	(2.8	)
	Other	(2.0	)	(2.6	)	(1.1	)
	Effective income tax rate	24.2	%	18.2	%	20.6	%

Components of Income Tax Expense

The provision for income taxes by taxing jurisdiction and by significant components consisted of the foll

Net deferred income tax assets and liabilities

Net deferred income tax assets and liabilities as of December 31 were as follows:

($ in millions)		2015			2014
Deferred income tax assets related to
	Employee benefits	738			877
	Contingent and accrued liabilities	604			671
	Operating loss and other carry-forwards	361			380
	Inventories	14			24
	Property	47			29
	Derivatives	—			24
	Other	94			99
	Valuation allowance	(139		)	(181		)
	Total	1,719			1,923
Deferred income tax liabilities related to
	Property	622			401
	Intangibles	439			805
	Employee benefits	67			69
	Derivatives	4			—
	Undistributed foreign earnings	158			263
	Other	222			180
	Total	1,512			1,718
	Deferred income tax assets – net	$	207		$	205

Unrecognized Tax Benefits

A reconciliation of the total amounts of unrecognized tax benefits (excluding interest and penalties) as of December 31 follows:

($ in millions)	2015			2014			2013
Balance at January 1	$	71		$	85		$	82
Additions based on tax positions related to the current year	14			12			12
Additions for tax positions of prior years	5			3			9
Pre-acquisition unrecognized tax benefits	4			—			—
Reductions for tax positions of prior years	(3		)	(15		)	(10		)
Reductions for expiration of the applicable statute of limitations	(1		)	(2		)	(10		)
Settlements	(3		)	(6		)	—
Foreign currency translation	(5		)	(6		)	2
Balance at December 31	$	82		$	71		$	85