Income Taxes |
9 Months Ended |
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Sep. 30, 2026 | |
| Income Tax Disclosure [Abstract] | |
| Income Taxes | 13. Income Taxes Our provision for income taxes on a consolidated basis was $131 million for the three months ended September 30, 2026 as compared to a provision for income taxes of $90 million for the three months ended September 30, 2025. The increase of $41 million is primarily related to an increase in earnings and a reduction of favorable permanent book tax differences. Our effective tax rate increased to 21.4% for the three months ended September 30, 2026 from 18.5% for the three months ended September 30, 2025. Our provision for income taxes on a consolidated basis was $311 million for the nine months ended September 30, 2026 as compared to a provision for income taxes of $203 million for the nine months ended September 30, 2025. The increase of $108 million is primarily related to an increase in earnings and a reduction of favorable permanent book tax differences. Our effective tax rate increased to 22.5% for the nine months ended September 30, 2026 from 19.7% for the nine months ended September 30, 2025. Our effective tax rates for the three and nine months ended September 30, 2026 were different than the U.S. federal statutory tax rate of 21.0% primarily due to the U.S. state taxes and permanent book tax differences. On July 4, 2025, the U.S. federal government enacted H.R.1, the One Big Beautiful Bill Act (OBBBA), a budget reconciliation package that changes the U.S. federal income tax laws, including extensions of various expiring provisions from the Tax Cuts and Jobs Act of 2017. The 2026 impacts of the OBBBA are insignificant based on our current operations. As of September 30, 2026 and December 31, 2025, the company had gross unrecognized tax benefits of $394 million and $364 million, respectively.
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