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Income Taxes
 3 Months Ended
Mar. 31, 2026
Income Tax Disclosure [Abstract]  
Income Taxes INCOME TAXES
The IRA established transferability markets that enable monetization of tax credits. In April 2026, Duke Energy executed a multi-year agreement with a counterparty for the sale of up to $3.1 billion in net tax credits, including nuclear PTCs, solar PTCs and ITCs to be earned from 2025 through 2028. Proceeds are expected to be received from 2026 through 2029, including approximately $2 billion for Duke Energy Carolinas, $700 million for Duke Energy Progress and $350 million for Duke Energy Florida. The net realizable value from the sale of these tax credits is expected to ultimately flow back to customers through rates over time, subject to regulatory approval.
Corporate Alternative Minimum Tax
On February 18, 2026, the U.S. Treasury Department published Notice 2026-7 (Notice) providing additional interim guidance on the application of the Corporate Alternative Minimum Tax (CAMT) under the Internal Revenue Code. The notice includes adjustments to the adjusted financial statement income that permit taxpayers to deduct certain tax-deductible repairs with respect to Section 168 property for CAMT purposes, as well as other adjustments related to capitalization differences.
As a result, Duke Energy intends to file amended federal tax returns with additional refund claims of approximately $70 million for tax years 2023 and 2024. Duke Energy also reduced accrued taxes by $80 million related to tax year 2025. These amounts have been recorded to the Duke Energy Condensed Consolidated Balance Sheets as of March 31, 2026, as well as a corresponding $150 million reduction to deferred income tax assets due to lower CAMT credit carryforwards.
EFFECTIVE TAX RATES
The ETRs from continuing operations for each of the Duke Energy Registrants are included in the following table.
Three Months Ended
March 31,
20262025
Duke Energy17.6 %12.1 %
Duke Energy Carolinas2.5 %9.0 %
Progress Energy14.1 %16.8 %
Duke Energy Progress10.2 %14.5 %
Duke Energy Florida19.7 %19.9 %
Duke Energy Ohio19.3 %18.0 %
Duke Energy Indiana14.0 %12.5 %
Piedmont25.1 %20.7 %
The increase in the ETR for Duke Energy for the three months ended March 31, 2026, was primarily due to non-deductible goodwill associated with the sale of Piedmont's Tennessee business and a decrease in the amortization of EDIT, partially offset by an increase in the amortization of nuclear PTCs.
The decrease in the ETR for Duke Energy Carolinas for the three months ended March 31, 2026, was primarily due to an increase in the amortization of nuclear PTCs, partially offset by a decrease in the amortization of EDIT.
The decrease in the ETR for Progress Energy for the three months ended March 31, 2026, was primarily due to an increase in the amortization of nuclear PTCs.
The decrease in the ETR for Duke Energy Progress for the three months ended March 31, 2026, was primarily due to an increase in the amortization of nuclear PTCs.
The increase in the ETR for Duke Energy Ohio for the three months ending March 31, 2026, was primarily due to a decrease in the amortization of EDIT.
The increase in the ETR for Duke Energy Indiana for the three months ended March 31, 2026, was primarily due to a decrease in the amortization of EDIT.
The increase in the ETR for Piedmont for the three months ending March 31, 2026, was primarily due to higher state tax expense associated with the sale of Piedmont's Tennessee business.