乐天堂fun88(中国区)官方网站 Corporation Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

INCOME TAXES (Tables)

INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2017

Income Tax

听

Schedule of income tax expense (benefit)

The following is a summary of U.S. and non鈥慤.S. provisions for current and deferred income taxes (dollars in millions):

乐天堂fun88(中国区)官方网站 Corporation

听	听	听	听	听	听	听	听	听	听
听	听	Year ended December听31,听
听	听	2017		听	2016		听	2015
Income tax expense (benefit):	听听听听	听	听	听听听听	听	听	听听听听	听	听
U.S.	听	听	听	听	听	听	听	听	听
Current	听	$	23	听	$	50	听	$	54
Deferred	听	听	(95)	听	听	(15)	听	听	17
Non-U.S.	听	听	听	听	听	听	听	听	听
Current	听	听	94	听	听	55	听	听	26
Deferred	听	听	42	听	听	19	听	听	(37)
Total	听	$	64	听	$	109	听	$	60

听

Schedule of reconciliation of the differences between the U.S. federal income taxes at the U.S. statutory rate to total provision for income taxes

The following schedule reconciles the differences between the U.S. federal income taxes at the U.S. statutory rate to our provision for income taxes (dollars in millions):

乐天堂fun88(中国区)官方网站 Corporation

听	听	听	听	听	听	听	听	听	听
听	听	Year ended December听31,听
听	听	2017		听	2016		听	2015
Income from continuing operations before income taxes	听听听听	$	647	听听听听	$	474	听听听听	$	488
Expected tax expense at U.S. statutory rate of 35%	听	$	227	听	$	166	听	$	171
Change resulting from:	听	听	听	听	听	听	听	听	听
State tax expense net of federal benefit	听	听	(2)	听	听	(1)	听	听	(3)
Non-U.S. tax rate differentials	听	听	(64)	听	听	(32)	听	听	(2)
Non-taxable portion of gain on sale of European surfactants business	听	听	鈥�	听	听	(23)	听	听	鈥�
U.S. Tax Reform Act impact	听	听	(52)	听	听	鈥�	听	听	鈥�
U.S. domestic manufacturing deduction	听	听	听鈥�	听	听	听鈥�	听	听	(7)
Currency exchange gains and losses	听	听	15	听	听	(5)	听	听	(38)
Effect of tax holidays	听	听	鈥�	听	听	鈥�	听	听	(6)
U.S. foreign tax credits, net of associated income and taxes	听	听	听鈥�	听	听	听鈥�	听	听	(22)
Tax benefit of losses with valuation allowances as a result of other comprehensive income	听	听	听鈥�	听	听	听鈥�	听	听	(2)
Tax authority audits and dispute resolutions	听	听	听9	听	听	听2	听	听	听1
Change in valuation allowance	听	听	(72)	听	听	(38)	听	听	(13)
Other non-U.S. tax effects, including nondeductible expenses, tax effect of rate changes, transfer pricing adjustments and various withholding taxes	听	听	听3	听	听	30	听	听	(20)
Other U.S. tax effects, including nondeductible expenses and other credits	听	听	听鈥�	听	听	10	听	听	听1
Total income tax expense	听	$	64	听	$	109	听	$	60

听

Schedule of components of income (loss) from continuing operations before income taxes

The components of income (loss) from continuing operations before income taxes were as follows (dollars in millions):

乐天堂fun88(中国区)官方网站 Corporation

听	听	听	听	听	听	听	听	听	听
听	听	Year ended December听31,听
听	听	2017		听	2016		听	2015
U.S.	听听听听	$	(39)	听听听听	$	91	听听听听	$	265
Non-U.S.	听	听	686	听	听	383	听	听	223
Total	听	$	647	听	$	474	听	$	488

听

Schedule of components of deferred income tax assets and liabilities

Components of deferred income tax assets and liabilities were as follows (dollars in millions):

乐天堂fun88(中国区)官方网站 Corporation

听	听	听	听	听	听	听
听	听	December听31,听
听	听	2017		听	2016
Deferred income tax assets:	听听听听	听	听	听听听听	听	听
Net operating loss carryforwards	听	$	411	听	$	539
Pension and other employee compensation	听	听	204	听	听	271
Property, plant and equipment	听	听	39	听	听	28
Intangible assets	听	听	93	听	听	99
Foreign tax credits	听	听	听鈥�	听	听	听5
Other, net	听	听	49	听	听	60
Total	听	$	796	听	$	1,002
Deferred income tax liabilities:	听	听	听	听	听	听
Property, plant and equipment	听	$	(363)	听	$	(489)
Pension and other employee compensation	听	听	(5)	听	听	(1)
Intangible assets	听	听	(11)	听	听	(9)
Other, net	听	听	(49)	听	听	(125)
Total	听	$	(428)	听	$	(624)
Net deferred tax asset before valuation allowance	听	$	368	听	$	378
Valuation allowance鈥攏et operating losses and other	听	听	(424)	听	听	(496)
Net deferred tax liability	听	$	(56)	听	$	(118)
Non-current deferred tax asset	听	听	208	听	听	253
Non-current deferred tax liability	听	听	(264)	听	听	(371)
Net deferred tax liability	听	$	(56)	听	$	(118)

听

Schedule of changes in valuation allowance

The following is a summary of changes in the valuation allowance (dollars in millions):

乐天堂fun88(中国区)官方网站 Corporation

听	听	听	听	听	听	听	听	听	听
听	听听听听	2017		听听听听	2016		听听听听	2015
Valuation allowance as of January听1	听	$	496	听	$	526	听	$	518
Valuation allowance as of December听31	听	听	424	听	听	496	听	听	526
Net (increase) decrease	听	听	72	听	听	30	听	听	(8)
Foreign currency movements	听	听	11	听	听	(11)	听	听	(4)
(Decrease) increase to deferred tax assets with no impact on operating tax expense, including an offsetting (decrease) increase to valuation allowances	听	听	(11)	听	听	19	听	听	25
Change in valuation allowance per rate reconciliation	听	$	72	听	$	38	听	$	13
Components of change in valuation allowance affecting tax expense:	听	听	听	听	听	听	听	听	听
Pre-tax income and losses in jurisdictions with valuation allowances resulting in no tax expense or benefit	听	$	50	听	$	31	听	$	31
Releases of valuation allowances in various jurisdictions	听	听	22	听	听	19	听	听	听3
Establishments of valuation allowances in various jurisdictions	听	听	听鈥�	听	听	(12)	听	听	(21)
Change in valuation allowance per rate reconciliation	听	$	72	听	$	38	听	$	13

听

Schedule of reconciliation of unrecognized tax benefits

The following is a reconciliation of our unrecognized tax benefits (dollars in millions):

听	听	听	听	听	听	听
听	听听听听	2017		听听听听	2016
Unrecognized tax benefits as of January听1	听	$	17	听	$	37
Gross increases and decreases鈥攖ax positions taken during a prior period	听	听	听3	听	听	听1
Gross increases and decreases鈥攖ax positions taken during the current period	听	听	听4	听	听	听3
Decreases related to settlements of amounts due to tax authorities	听	听	听鈥�	听	听	(21)
Reductions resulting from the lapse of statutes of limitation	听	听	(2)	听	听	(1)
Foreign currency movements	听	听	听1	听	听	(2)
Unrecognized tax benefits as of December听31	听	$	23	听	$	17

听

Schedule of interest and penalties accrued related to unrecognized tax benefits included in the income tax expense

听

听	听	听	听	听	听	听	听	听	听
听	听	Year ended December听31,听
听	听	2017		听	2016		听	2015
Interest expense included in tax expense	听听听听	$	听鈥�	听听听听	$	听1	听听听听	$	听鈥�
Penalties expense included in tax expense	听	听	鈥�	听	听	鈥�	听	听	鈥�

听

听	听	听	听	听	听	听
听	听	December听31,听
听	听	2017		听	2016
Accrued liability for interest	听听听听	$	听3	听听听听	$	听3
Accrued liability for penalties	听	听	鈥�	听	听	鈥�

听

Summary of the tax years that remain subject to examination by major tax jurisdictions

听	听	听
Tax听Jurisdiction	听听听听	Open听Tax听Years
China	听	2012听and听later
France	听	2004听and听later
Germany	听	2011听and听later
India	听	2004听and听later
Italy	听	2013听and听later
Malaysia	听	2015听and听later
Switzerland	听	2011听and听later
The Netherlands	听	2015听and听later
United Kingdom	听	2016听and听later
United States federal	听	2009听and听later

听

HUNTSMAN INTERNATIONAL LLC AND SUBSIDIARIES

听

Income Tax

听

Schedule of income tax expense (benefit)

听	听	听	听	听	听	听	听	听	听
听	听	Year ended December听31,听
听	听	2017		听	2016		听	2015
Income tax expense (benefit):	听听听听	听	听听听听	听听听听	听	听听听听	听听听听	听	听听听听
U.S.	听	听	听	听	听	听	听	听	听
Current	听	$	16	听	$	50	听	$	52
Deferred	听	听	(92)	听	听	(16)	听	听	17
Non-U.S.	听	听	听	听	听	听	听	听	听
Current	听	听	94	听	听	55	听	听	25
Deferred	听	听	43	听	听	19	听	听	(35)
Total	听	$	61	听	$	108	听	$	59

听

Schedule of reconciliation of the differences between the U.S. federal income taxes at the U.S. statutory rate to total provision for income taxes

听	听	听	听	听	听	听	听	听	听
听	听	Year ended December听31,听
听	听	2017		听	2016		听	2015
Income from continuing operations before income taxes	听听听听	$	640	听听听听	$	475	听听听听	$	493
Expected tax expense at U.S. statutory rate of 35%	听	$	224	听	$	165	听	$	170
Change resulting from:	听	听	听	听	听	听	听	听	听
State tax expense net of federal benefit	听	听	(2)	听	听	(1)	听	听	(3)
Non-U.S. tax rate differentials	听	听	(64)	听	听	(32)	听	听	(2)
Non-taxable portion of gain on sale of European surfactants business	听	听	听鈥�	听	听	(23)	听	听	听鈥�
U.S. Tax Reform Act impact	听	听	(53)	听	听	鈥�	听	听	鈥�
U.S. domestic manufacturing deduction	听	听	听鈥�	听	听	鈥�	听	听	(7)
Currency exchange gains and losses	听	听	15	听	听	(5)	听	听	(38)
Effect of tax holidays	听	听	鈥�	听	听	鈥�	听	听	(6)
U.S. foreign tax credits, net of associated income and taxes	听	听	听鈥�	听	听	听鈥�	听	听	(22)
Tax benefit of losses with valuation allowances as a result of other comprehensive income	听	听	听鈥�	听	听	听鈥�	听	听	(2)
Tax authority audits and dispute resolutions	听	听	听9	听	听	听2	听	听	听1
Change in valuation allowance	听	听	(72)	听	听	(39)	听	听	(13)
Other non-U.S. tax effects, including nondeductible expenses, tax effect of rate changes, transfer pricing adjustments and various withholding taxes	听	听	听4	听	听	32	听	听	(18)
Other U.S. tax effects, including nondeductible expenses and other credits	听	听	听鈥�	听	听	听9	听	听	(1)
Total income tax expense	听	$	61	听	$	108	听	$	59

听

Schedule of components of income (loss) from continuing operations before income taxes

听	听	听	听	听	听	听	听	听	听
听	听	Year ended December听31,听
听	听	2017		听	2016		听	2015
U.S.	听听听听	$	(46)	听听听听	$	92	听听听听	$	268
Non-U.S.	听	听	686	听	听	383	听	听	225
Total	听	$	640	听	$	475	听	$	493

听

Schedule of components of deferred income tax assets and liabilities

听	听	听	听	听	听	听
听	听	December听31,听
听	听	2017		听	2016
Deferred income tax assets:	听听听听	听	听	听听听听	听	听
Net operating loss carryforwards	听	$	411	听	$	542
Pension and other employee compensation	听	听	203	听	听	269
Property, plant and equipment	听	听	39	听	听	32
Intangible assets	听	听	93	听	听	99
Foreign tax credits	听	听	听鈥�	听	听	听5
Other, net	听	听	49	听	听	59
Total	听	$	795	听	$	1,006
Deferred income tax liabilities:	听	听	听	听	听	听
Property, plant and equipment	听	$	(362)	听	$	(486)
Pension and other employee compensation	听	听	(5)	听	听	(1)
Intangible assets	听	听	(11)	听	听	(9)
Other, net	听	听	(50)	听	听	(125)
Total	听	$	(428)	听	$	(621)
Net deferred tax asset before valuation allowance	听	$	367	听	$	385
Valuation allowance鈥攏et operating losses and other	听	听	(424)	听	听	(499)
Net deferred tax liability	听	$	(57)	听	$	(114)
Non-current deferred tax asset	听	听	208	听	听	253
Non-current deferred tax liability	听	听	(265)	听	听	(367)
Net deferred tax liability	听	$	(57)	听	$	(114)

听

Schedule of changes in valuation allowance

听	听	听	听	听	听	听	听	听	听
听	听听听听	2017		听听听听	2016		听听听听	2015
Valuation allowance as of January听1	听	$	499	听	$	530	听	$	522
Valuation allowance as of December听31	听	听	424	听	听	499	听	听	530
Net (increase) decrease	听	听	75	听	听	31	听	听	(8)
Foreign currency movements	听	听	11	听	听	(11)	听	听	(4)
(Decrease) increase to deferred tax assets with no impact on operating tax expense, including an offsetting (decrease) increase to valuation allowances	听	听	(14)	听	听	19	听	听	25
Change in valuation allowance per rate reconciliation	听	$	72	听	$	39	听	$	13
Components of change in valuation allowance affecting tax expense:	听	听	听	听	听	听	听	听	听
Pre-tax income and losses in jurisdictions with valuation allowances resulting in no tax expense or benefit	听	$	49	听	$	32	听	$	31
Releases of valuation allowances in various jurisdictions	听	听	23	听	听	19	听	听	听3
Establishments of valuation allowances in various jurisdictions	听	听	听鈥�	听	听	(12)	听	听	(21)
Change in valuation allowance per rate reconciliation	听	$	72	听	$	39	听	$	13

听