Income Taxes (Unaudited)

6 Months Ended

Jun. 30, 2019

Income Tax Disclosure [Abstract]

Income Taxes

INCOME TAXES

Variations in the relative proportions of jurisdictional income result in fluctuations to FCX’s consolidated effective income tax rate. FCX’s consolidated effective income tax rate was 101 percent for the first six months of 2019 and 35 percent for the first six months of 2018. Geographic sources of FCX’s benefit from (provision for) income taxes follow (in millions):

	Six Months Ended
	June 30,
	2019				2018
U.S. operations	$	20		a	$	8		b
International operations	(110		)		(1,029		)
Total	$	(90	)		$	(1,021	)

a. Includes a tax credit of $18 million primarily associated with state law changes.

b. Includes a tax credit of $5 million associated with the settlement of a state income tax examination.

FCX's consolidated effective income tax rate for the first six months of 2019 is a function of the combined effective tax rates for the jurisdictions in which FCX operates, excluding the U.S. jurisdiction. Because FCX's U.S. jurisdiction generated net losses in the first six months of 2019 that will not result in a realized tax benefit, applicable accounting rules require FCX to adjust its estimated annual effective tax rate to exclude the impact of U.S. net losses.