Income Taxes (Tables)

12 Months Ended

Dec. 31, 2023

Income Taxes [Abstract]

Summary of Reconciliation of Income Taxes

Tax Rate Reconciliation to the Canadian Statutory Income Tax Rate

(CAD$ in millions)	2023		2022
Profit from continuing operations before taxes	$	3,944	$	6,565
Loss from discontinued operations before taxes (Note 5)	(28)		(956)
Profit for the year from continuing and discontinued operations before taxes	$	3,916	$	5,609
Tax expense at the Canadian statutory income tax rate of 27% (2022 – 26.53%)	$	1,057	$	1,488
Tax effect of:
Resource taxes	419		670
Resource and depletion allowances	(64)		(96)
Non-deductible expenses (non-taxable income)	42		74
Tax pools not recognized (recognition of previously unrecognized tax pools)	8		5
Effect of new Chilean royalty (f)	106		—
Difference in tax rates in foreign jurisdictions	48		76
Revisions to prior year estimates	17		15
Non-controlling interests	(25)		(21)
Effect from sale of Fort Hills	2		83
Other	(2)		17
Total income taxes from continuing and discontinued operations	$	1,608	$	2,311
Represented by:
Current income taxes	2,228		1,413
Deferred income taxes	(620)		898
Total income taxes from continuing and discontinued operations	$	1,608	$	2,311
Provision for income taxes from continuing operations	1,610		2,495
Recovery of income taxes from discontinued operations	(2)		(184)
Total income taxes from continuing and discontinued operations	$	1,608	$	2,311

Current income taxes are accrued and paid in all jurisdictions in which we operate.

23. Income Taxes (continued)

b) Continuity of Deferred Tax Assets and Liabilities

(CAD$ in millions)	January 1, 2023		Through Profit (Loss)		Through OCI		Transfer		December 31, 2023
Net operating loss and capital loss    carryforwards	$	48	$	13	$	—	$	—	$	61
Property, plant and equipment	(165)		(2)		—		—		(167)
Decommissioning and restoration provisions	155		12		—		—		167
Other timing differences (TDs)	37		(21)		(12)		—		4
Deferred income tax assets	$	75	$	2	$	(12)	$	—	$	65
Net operating loss and capital loss    carryforwards	$	(458)	$	(205)	$	11	$	—	$	(652)
Property, plant and equipment	7,234		638		(46)		68		7,894
Decommissioning and restoration provisions	(803)		(371)		7		—		(1,167)
Unrealized foreign exchange	(91)		7		9		—		(75)
Withholding taxes	133		(14)		(3)		—		116
Inventories	148		10		3		—		161
Partnership income deferral and other TDs	615		(754)		50		—		(89)
Deferred income tax liabilities	$	6,778	$	(689)	$	31	$	68	$	6,188

The transfer column refers to deferred tax assets and deferred tax liabilities related to assets held for sale (Note 5).

(CAD$ in millions)	January 1,  2022		Through Profit (Loss)		Through OCI		Transfer		December 31, 2022
Net operating loss and capital loss    carryforwards	$	141	$	(98)	$	5	$	—	$	48
Property, plant and equipment	(180)		15		—		—		(165)
Decommissioning and restoration provisions	190		(35)		—		—		155
Other TDs	10		51		(24)		—		37
Deferred income tax assets	$	161	$	(67)	$	(19)	$	—	$	75
Net operating loss and capital loss    carryforwards	$	(532)	$	93	$	(19)	$	—	$	(458)
Property, plant and equipment	7,546		(333)		89		(68)		7,234
Decommissioning and restoration provisions	(1,050)		261		(14)		—		(803)
Unrealized foreign exchange	(85)		3		(9)		—		(91)
Withholding taxes	100		27		6		—		133
Inventories	156		(9)		1		—		148
Partnership income deferral and other TDs	(162)		789		(12)		—		615
Deferred income tax liabilities	$	5,973	$	831	$	42	$	(68)	$	6,778

Summary of Deferred Tax Expense Charged (Credited) to Income Statement

Continuity of Deferred Tax Assets and Liabilities

(CAD$ in millions)	January 1, 2023		Through Profit (Loss)		Through OCI		Transfer		December 31, 2023
Net operating loss and capital loss    carryforwards	$	48	$	13	$	—	$	—	$	61
Property, plant and equipment	(165)		(2)		—		—		(167)
Decommissioning and restoration provisions	155		12		—		—		167
Other timing differences (TDs)	37		(21)		(12)		—		4
Deferred income tax assets	$	75	$	2	$	(12)	$	—	$	65
Net operating loss and capital loss    carryforwards	$	(458)	$	(205)	$	11	$	—	$	(652)
Property, plant and equipment	7,234		638		(46)		68		7,894
Decommissioning and restoration provisions	(803)		(371)		7		—		(1,167)
Unrealized foreign exchange	(91)		7		9		—		(75)
Withholding taxes	133		(14)		(3)		—		116
Inventories	148		10		3		—		161
Partnership income deferral and other TDs	615		(754)		50		—		(89)
Deferred income tax liabilities	$	6,778	$	(689)	$	31	$	68	$	6,188

The transfer column refers to deferred tax assets and deferred tax liabilities related to assets held for sale (Note 5).

(CAD$ in millions)	January 1,  2022		Through Profit (Loss)		Through OCI		Transfer		December 31, 2022
Net operating loss and capital loss    carryforwards	$	141	$	(98)	$	5	$	—	$	48
Property, plant and equipment	(180)		15		—		—		(165)
Decommissioning and restoration provisions	190		(35)		—		—		155
Other TDs	10		51		(24)		—		37
Deferred income tax assets	$	161	$	(67)	$	(19)	$	—	$	75
Net operating loss and capital loss    carryforwards	$	(532)	$	93	$	(19)	$	—	$	(458)
Property, plant and equipment	7,546		(333)		89		(68)		7,234
Decommissioning and restoration provisions	(1,050)		261		(14)		—		(803)
Unrealized foreign exchange	(85)		3		(9)		—		(91)
Withholding taxes	100		27		6		—		133
Inventories	156		(9)		1		—		148
Partnership income deferral and other TDs	(162)		789		(12)		—		615
Deferred income tax liabilities	$	5,973	$	831	$	42	$	(68)	$	6,778