Income Taxes
The Partnership is not a taxable entity for federal income tax purposes. As such, it does not directly pay federal income tax. The Partnership’s taxable income or loss, which may vary substantially from the net income or loss reported in the Consolidated Statements of Income, is includable in the federal income tax returns of each partner. The aggregate difference in the basis of the Partnership’s net assets for financial and income tax purposes cannot be readily determined as the Partnership does not have access to the information about each partner’s tax attributes. The subsidiaries of the Partnership directly incur some income-based state taxes which are presented in Income taxes on the Consolidated Statements of Income.
Following is a summary of the provision for income taxes for the periods ended December 31, 2017, 2016 and 2015 (in millions):
|
| | | | | | | | | | | |
| For the Year Ended December 31, |
| 2017 | | 2016 | | 2015 |
Current expense: | | | | | |
State | $ | 0.7 |
| | $ | 0.4 |
| | $ | 0.4 |
|
Total | 0.7 |
| | 0.4 |
| | 0.4 |
|
Deferred provision: | |
| | |
| | |
|
State | 0.3 |
| | 0.2 |
| | 0.1 |
|
Total | 0.3 |
| | 0.2 |
| | 0.1 |
|
Income taxes | $ | 1.0 |
| | $ | 0.6 |
| | $ | 0.5 |
|
The Partnership’s tax years 2014 through 2017 remain subject to examination by the Internal Revenue Service and the states in which it operates. There were no differences between the provision at the statutory rate to the income tax provision at December 31, 2017, 2016 and 2015. As of December 31, 2017 and 2016, there were no significant deferred income tax assets or liabilities.