Income Taxes (Tables)

12 Months Ended

Dec. 31, 2021

Income Tax Disclosure [Abstract]

Summary of Income (Loss) Before Income Taxes

The following table summarizes income before income taxes and equity income:

	Years Ended December 31,
	2021		2020		2019
U.S. income	$	4,263	$	2,280	$	1,599
Non-U.S. income	572		275		339
Income before income taxes and equity income	$	4,835	$	2,555	$	1,938

Summary of Income Tax Expense (Benefit)

Income Tax Expense	Years Ended December 31,
	2021		2020		2019
Current income tax expense
U.S. federal	$	669	$	129	$	—
U.S. state and local	233		143		16
Non-U.S.	136		67		81
Total current	1,038		339		97
Deferred income tax expense
U.S. federal	136		299		330
U.S. state and local	7		5		71
Non-U.S.	66		50		39
Total deferred	209		354		440
Total income tax provision	$	1,247	$	693	$	537

Effective Income Tax Rate Reconciliation

A reconciliation between the U.S. federal statutory tax rate and the effective tax rate is as follows:

	Years Ended December 31,
	2021		2020		2019
U.S. federal statutory tax rate	21.0	%	21.0	%	21.0	%
Non-U.S. income taxed at other than the U.S. federal statutory rate	1.1		1.5		2.1
State and local income taxes	3.7		4.1		4.0
U.S. tax on non-U.S. earnings	(0.3)		0.4		1.1
Valuation allowance	0.4		0.3		0.5
Tax credits and incentives	—		(0.2)		(0.7)
Other	(0.1)		—		(0.3)
Effective tax rate	25.8	%	27.1	%	27.7	%

Schedule of Deferred Tax Assets and Liabilities

The following table summarizes the components of temporary differences and carryforwards that give rise to deferred tax assets and liabilities:

	December 31, 2021		December 31, 2020
Deferred tax assets
Net operating loss carryforward - U.S.(a)	$	8	$	15
Net operating loss carryforward - non-U.S.(b)	150		150
Market value difference of loan portfolio	486		741
Accruals	140		86
Tax credits(c)	366		466
Other	211		282
Total deferred tax assets before valuation allowance	1,361		1,740
Less: valuation allowance	(306)		(291)
Total deferred tax assets	1,055		1,449
Deferred tax liabilities
Depreciable assets	1,933		2,038
Deferred acquisition costs	96		109
Other	135		160
Total deferred tax liabilities	2,164		2,307
Net deferred tax liability	$	(1,109)	$	(858)

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(a)Includes tax-effected state operating losses of $8 million expiring through 2041 at December 31, 2021.

(b)Includes tax-effected operating losses of $128 million expiring through 2041 and $22 million that may be carried forward indefinitely at December 31, 2021.

(c)Includes tax credits of $366 million expiring through 2041 at December 31, 2021.

Summary of Unrecognized Tax Benefits Activity

Unrecognized Tax Benefits	Years Ended December 31,
	2021		2020		2019
Beginning balance	$	62	$	57	$	50
Additions to prior years' tax positions	2		—		1
Reductions to prior years' tax positions	—		(1)		—
Additions to current year tax positions	12		6		7
Changes in tax positions due to lapse of statutory limitations	(6)		3		(1)
Foreign currency translation	—		(3)		—
Ending balance	$	70	$	62	$	57