Rendering

Component: (Network and Table)
Network
2308301 - Disclosure - INCOME TAXES (Tables)
(http://www.alaskaair.com/role/IncomeTaxesTables)
Table(Implied)
Slicers (applies to each fact value in each table cell)
Income Tax Disclosure [Abstract]Period [Axis]
2016-01-01 - 2016-12-31
Income Tax Disclosure [Abstract]
 
Schedule of Deferred Tax Assets and Liabilities [Table Text Block]
Deferred tax (assets) and liabilities comprise the following (in millions):
 
2016
 
2015
Excess of tax over book depreciation
$
1,282

 
$
1,110

Intangibles
39

 

Other—net
26

 
23

Gross deferred tax liabilities
1,347

 
1,133

 
 
 
 
Mileage Plan™
(310
)
 
(208
)
Inventory obsolescence
(23
)
 
(22
)
Deferred gains
(8
)
 
(8
)
Employee benefits
(196
)
 
(167
)
Fuel hedge contracts

 
(5
)
Acquired net operating losses
(289
)
 

Other—net
(62
)
 
(41
)
Gross deferred tax assets
(888
)
 
(451
)
Valuation allowance
4

 

Net deferred tax (assets) liabilities
$
463

 
$
682

 
 
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]
The components of income tax expense were as follows (in millions): 
 
2016
 
2015
 
2014
Current income tax expense:
 
 
 
 
 
Federal
$
392

 
$
397

 
$
229

State
48

 
30

 
27

Total current income tax expense
440

 
427

 
256

 
 
 
 
 
 
Deferred income tax expense:
 

 
 

 
 

Federal
77

 
60

 
103

State
14

 
(23
)
 
11

Total deferred income tax expense
91

 
37

 
114

Income tax expense
$
531

 
$
464

 
$
370

 
 
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]
Income tax expense reconciles to the amount computed by applying the U.S. federal rate of 35% to income before income tax and accounting changes as follows (in millions):
 
 
2016
 
2015
 
2014
Income before income tax
$
1,345

 
$
1,312

 
$
975

 
 
 
 
 
 
Expected tax expense
471

 
459

 
341

Nondeductible expenses
20

 
4

 
4

State income taxes
28

 
19

 
25

State income sourcing
13

 
(15
)
 

Other—net
(1
)
 
(3
)
 

Actual tax expense
$
531

 
$
464

 
$
370

 
 
 
 
 
 
Effective tax rate
39.5
%
 
35.4
%
 
37.9
%
 
 
Summary of Income Tax Contingencies [Table Text Block]
The Company has identified its federal tax return and its state tax returns in Alaska, Oregon and California as “major” tax jurisdictions.  A summary of the Company's jurisdictions and the periods that are subject to examination are as follows:
Jurisdiction
Period
Federal
2006 to 2015 (a)(b)
Alaska
2012 to 2015
California
2006 to 2015(a)
Oregon
2003 to 2015(a)

(a)
The 2003, 2004, 2008-2010 and 2011 Oregon tax returns are subject to examination only to the extent of net operating loss carryforwards from those years that were utilized in 2010 and later years. The 2006-2012 Federal and California Virgin America tax returns are subject to examination only to the extent of net operating loss carryforwards from those years that were utilized in 2012 and later years.
Changes in the liability for unrecognized tax benefits during 2016, 2015 and 2014 are as follows (in millions):
 
2016
 
2015
 
2014
Balance at January 1,
$
22

 
$
3

 
$
2

Additions based on tax positions and settlements related to the current year
3

 
19

 
1

Additions from acquisitions
8

 

 

Balance at December 31,
$
33

 
$
22

 
$
3