Company: ATO
Filing Date: 2025-11-14
Form Type: 10-K
Source: 0000731802-25-000056
Chunk: 135

Company: ATMOS ENERGY CORP
Filing Date: 2025-11-14
Form: 10-K
Item: Item 8
Chunk 135
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 net book value and net tax value of assets(3,200,535)(2,914,854)Gas cost adjustments(43,819)(49,443)Winter Storm Uri regulatory asset(17,993)(20,846)Lease liability(66,831)(57,177)Rate deferral adjustment(64,640)(50,571)Interest rate agreements(135,640)(134,536)Other(45,073)(47,770)Total deferred tax liabilities(3,574,531)(3,275,197)Net deferred tax liabilities$(2,918,347)$(2,593,342)At September 30, 2025, we had $435.3 million (tax effected) of federal net operating loss carryforwards. The federal net operating loss carryforwards are available to offset future taxable income and have no expiration date. The Company has $11.8 million (tax effected) charitable contribution carryforwards to offset future taxable income as of September 30, 2025. The Company also has $38.3 million (tax effected) of state net operating loss carryforwards (net of $10.1 million of federal effects) and $2.4 million of state tax credits carryforwards (net of $0.6 million of federal effects). Depending on the jurisdiction in which the state net operating loss was generated, the carryforwards expiration period begins in fiscal 2026.At September 30, 2025 and 2024, we had recorded liabilities associated with unrecognized tax benefits totaling $60.3 million and $57.8 million, which includes $10.1 million and $11.6 million in deferred tax liabilities. The following table reconciles the beginning and ending balance of our unrecognized tax benefits:202520242023(In thousands)Unrecognized tax benefits - beginning balance$57,797 $58,638 $52,683 Decrease resulting from prior period tax positions(1,759)(2,867)(631)Decrease resulting from a lapse in statute of limitations(5,699)(6,188)— Increase resulting from current period tax positions9,993 8,214 6,586 Unrecognized tax benefits - ending balance60,332 57,797 58,638 Less: deferred federal and state income tax benefits(12,670)(12,137)(12,314)Total unrecognized tax benefits that, if recognized, would impact the effective income tax rate