Income Taxes (Tables)

12 Months Ended

Jan. 29, 2022

Income Tax Disclosure [Abstract]

Schedule of Components of Deferred Income Taxes

Deferred income taxes consist of the following:

(Dollars in Millions)	January 29, 2022	January 30, 2021
Deferred tax liabilities:
Property and equipment	$646	$718
Lease assets	974	821
Merchandise inventories	24	46
Total deferred tax liabilities	1,644	1,585
Deferred tax assets:
Lease obligations	1,267	1,093
Accrued and other liabilities, including stock-based compensation	214	244
Federal benefit on state tax reserves	30	30
Valuation allowance	(34)	(42)
Total deferred tax assets	1,477	1,325
Net deferred tax liability	$167	$260

Schedule of Components of (Benefit) Provision for Income Taxes

The components of the Provision (benefit) for income taxes were as follows:

(Dollars in Millions)	2021	2020	2019
Current federal	$311	$(439)	$128
Current state	63	38	31
Deferred federal	(59)	69	60
Deferred state	(34)	(51)	(9)
Provision (benefit) for income taxes	$281	$(383)	$210

Schedule of Items Affecting Statutory Corporate Tax Rate

The effective tax rate differs from the amount that would be provided by applying the statutory U.S. corporate tax rate due to the following items:

	2021	2020	2019
Provision at statutory rate	21.0%	21.0%	21.0%
State income taxes, net of federal tax benefit	2.6	2.1	3.1
Federal NOL carryback	(0.3)	66.0	—
Uncertain tax positions	0.6	(19.4)	0.6
Federal tax credits	(1.1)	0.4	(1.2)
Other	0.3	0.1	(0.2)
Effective tax rate	23.1%	70.2%	23.3%

Schedule of Reconciliation of Gross Amount of Unrecognized Tax Benefits

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

(Dollars in Millions)	2021	2020
Balance at beginning of year	$298	$135
Increases due to tax positions taken in prior years	12	—
Increases due to tax positions taken in current year	27	177
Decreases due to:
Tax positions taken in prior years	(53)	(9)
Settlements with taxing authorities	(3)	(4)
Lapse of applicable statute of limitations	(5)	(1)
Balance at end of year	$276	$298