Income taxes

9 Months Ended

Sep. 30, 2022

Income Tax Disclosure [Abstract]

Income taxes

Income taxes

Provision for income taxes is based on the following:

	For Three Months Ended						For Nine Months Ended
	September 30,						September 30,
	2022			2021			2022			2021
Taxes calculated using the estimated annual effective tax rate	$	391		$	337		$	1,147		$	934
Discrete tax items	(28)			(9)			(69)			(109)
Provision for income taxes	$	363		$	328		$	1,078		$	825
Effective tax rate	14		%	14		%	14		%	13		%

The effective tax rate differs from the 21% U.S. statutory corporate tax rate due to the effect of U.S. tax benefits.

On August 16, 2022, the U.S. government enacted the Inflation Reduction Act (IRA), which introduces a new 15% corporate minimum tax effective January 1, 2023, based on adjusted financial statement income. Based on our current analysis of the provisions, we do not believe this legislation will have a material impact on our consolidated financial statements.