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Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of Income Tax Expense Varied from Statutory Federal Income Tax Rate
The Registrants' total Income Tax Expense varied from the statutory federal income tax rate for the following reasons:
Year Ended December 31,
202520242023
(In millions)
DTE EnergyAmountPercentageAmountPercentageAmountPercentage
Income tax expense at U.S. Federal Statutory Tax Rate$326 21.0 %$288 21.0 %$329 21.0 %
Tax Credits
Production tax credits(161)(10.4)%(174)(12.7)%(91)(5.8)%
Investment tax credits(94)(6.1)%(128)(9.3)%(44)(2.8)%
Other(5)(0.3)%(4)(0.3)%(5)(0.3)%
Other Adjustments
TCJA regulatory liability amortization(65)(4.2)%(66)(4.8)%(63)(4.0)%
Other(4)(0.1)%4 0.2 %— — %
Nontaxable or Nondeductible Items
AFUDC equity(20)(1.3)%(17)(1.2)%(7)(0.5)%
Other6 0.5 %(3)(0.3)%(4)(0.2)%
Changes in Tax Laws or Rates Enacted in the Current Period16 1.0 %— — %— — %
Changes in Valuation Allowances 7 0.4 %6 0.5 %— — %
Changes in Prior Year Unrecognized Tax Benefits— — %— — %(12)(0.8)%
Foreign Tax Effects
Canada1 — %1 0.1 %— — %
State and Local Income Taxes, Net of Federal Effect (a)
$81 5.2 %$59 4.3 %$66 4.2 %
Income Tax Expense (Benefit) at Effective Tax Rate$88 5.7 %$(34)(2.5)%$169 10.8 %
_______________________________________
(a)State taxes in Michigan made up the majority (greater than 50 percent) of the tax effect in this category for all years presented. State and local income taxes in 2025 includes $14 million expense due to an Illinois tax law change.
Year Ended December 31,
202520242023
(In millions)
DTE ElectricAmountPercentageAmountPercentageAmountPercentage
Income tax expense at U.S. Federal Statutory Tax Rate$257 21.0 %$218 21.0 %$179 21.0 %
Tax Credits
Investment tax credits(95)(7.7)%(70)(6.7)%(1)(0.1)%
Production tax credits(77)(6.3)%(167)(16.0)%(79)(9.3)%
Other(4)(0.4)%(4)(0.4)%(4)(0.5)%
Other Adjustments
TCJA regulatory liability amortization(53)(4.4)%(55)(5.3)%(53)(6.2)%
Other(1)(0.1)%2 0.2 %— — %
Nontaxable or Nondeductible Items
AFUDC equity(20)(1.6)%(16)(1.6)%(7)(0.8)%
Other(2)(0.1)%(2)(0.2)%(2)(0.2)%
Changes in Prior Year Unrecognized Tax Benefits— — %— — %(7)(0.8)%
Changes in Valuation Allowances — — %5 0.4 %— — %
State and Local Income Taxes, Net of Federal Effect (a)
$66 5.4 %$57 5.5 %$52 6.1 %
Income Tax Expense (Benefit) at Effective Tax Rate$71 5.8 %$(32)(3.1)%$78 9.2 %
_______________________________________
(a)State taxes in Michigan made up the majority (greater than 50 percent) of the tax effect in this category for all years presented.
Schedule of Income Taxes Paid
Components of the Registrants' Income Taxes Paid were as follows:
Year Ended December 31,
202520242023
DTE Energy(In millions)
U.S. Federal(a)
$(266)$(230)$2 
U.S. State and Local
Michigan(5)(5)(10)
Pennsylvania1 2 2 
Other1 — 1 
(3)(3)(7)
Foreign2 3 — 
Total$(267)$(230)$(5)
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(a)Includes proceeds on sale of transferrable income tax credits, net of discount, in 2025 and 2024.
Year Ended December 31,
202520242023
DTE Electric(In millions)
U.S. Federal(a)
$(273)$(231)$9 
U.S. State and Local
Michigan$— $— $6 
Total$(273)$(231)$15 
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(a)Includes proceeds on sale of transferrable income tax credits, net of discount, in 2025 and 2024.
Schedule of Components of Income Tax Expense
Components of the Registrants' Income Tax Expense were as follows:
Year Ended December 31,
202520242023
DTE Energy(In millions)
Income (loss) from continuing operations before income tax expense (benefit)
US$1,543 $1,357 $1,559 
Foreign7 13 7 
Total$1,550 $1,370 $1,566 
Income tax expense (benefit) from continuing operations
Current tax expense (benefit)
US federal$(269)$(229)$(10)
US state and local(3)(2)(2)
Foreign2 3 — 
Total current tax expense (benefit)$(270)$(228)$(12)
Deferred tax expense (benefit)
US federal$253 $116 $103 
US state and local105 77 76 
Foreign— 1 2 
Total deferred tax expense (benefit)$358 $194 $181 
Total tax expense (benefit)
US federal$(16)$(113)$93 
US state and local102 75 74 
Foreign2 4 2 
Total tax expense (benefit)$88 $(34)$169 
Year Ended December 31,
202520242023
DTE Electric(In millions)
Income (loss) from continuing operations before income tax expense (benefit)
US$1,223 $1,040 $850 
Total$1,223 $1,040 $850 
Income tax expense (benefit) from continuing operations
Current tax expense (benefit)
US federal$(268)$(228)$1 
US state and local— — (5)
Total current tax expense (benefit)$(268)$(228)$(4)
Deferred tax expense (benefit)
US federal$256 $124 $19 
US state and local83 72 63 
Total deferred tax expense (benefit)$339 $196 $82 
Total tax expense (benefit)
US federal$(12)$(104)$20 
US state and local83 72 58 
Total tax expense (benefit)$71 $(32)$78 
Schedule of Deferred Tax Assets and Liabilities
The Registrants' deferred tax assets (liabilities) were comprised of the following at December 31:
DTE EnergyDTE Electric
2025202420252024
(In millions)
Property, plant, and equipment$(3,952)$(3,695)$(2,947)$(2,788)
Regulatory assets and liabilities(1,412)(1,272)(1,636)(1,492)
Tax credit carryforwards1,619 1,604 512 583 
Pension and benefits3 55 2 62 
Federal net operating loss carryforward180 190 24 30 
State and local net operating loss carryforwards51 68 27 42 
Investments in equity method investees(25)(28)(1)(1)
Other182 145 207 176 
(3,354)(2,933)(3,812)(3,388)
Less: Valuation allowance(46)(25)— (5)
Long-term deferred income tax liabilities$(3,400)$(2,958)$(3,812)$(3,393)
Deferred income tax assets$2,575 $2,508 $1,188 $1,209 
Deferred income tax liabilities(5,975)(5,466)(5,000)(4,602)
$(3,400)$(2,958)$(3,812)$(3,393)
Schedule of Tax Credit Sales Year of Sale The following table details the Registrants' tax credit sales, net of discount, by year of sale:
Year Ended December 31,
202520242023
(In millions)
Cash received for tax credit sales$268 $231 $—