Company: CMA
Filing Date: 2025-02-24
Form Type: 10-K
Source: 0000028412-25-000108
Chunk: 588

Company: COMERICA INC
Filing Date: 2025-02-24
Form: 10-K
Item: Item 16
Chunk 588
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 included $57 million of foreign taxable income.    The provision for income taxes does not reflect the tax effects of unrealized gains and losses on investment securities available-for-sale, hedging transactions or the change in defined benefit pension and other postretirement plans adjustment included in accumulated other comprehensive income (loss). Refer to Note 14 for additional information on accumulated other comprehensive income (loss).A reconciliation of expected income tax expense at the federal statutory rate to the Corporation’s provision for income taxes and effective tax rate follows:(dollar amounts in millions)202420232022Years Ended December 31AmountRateAmountRateAmountRateTax based on federal statutory rate$186 21.0 %$240 21.0 %$310 21.0 %State income taxes10 1.1 35 3.1 36 2.5 Affordable housing and historic credits(15)(1.7)(16)(1.4)(13)(0.9)Bank-owned life insurance(8)(0.9)(10)(0.9)(10)(0.7)FDIC insurance expense13 1.5 15 1.3 6 0.4 Employee stock transactions1 0.2 (1)(0.1)(3)(0.2)Tax-related interest and penalties— — (4)(0.4)— — Other3 0.4 4 0.4 (1)(0.1)Provision for income taxes$190 21.6 %$263 23.0 %$325 22.0 %The liability for tax-related interest and penalties, included in accrued expenses and other liabilities on the Consolidated Balance Sheets, was $1 million and less than $1 million at December 31, 2024 and 2023, respectively.In the ordinary course of business, the Corporation enters into certain transactions that have tax consequences. From time to time, the Internal Revenue Service (IRS) may review and/or challenge specific interpretive tax positions taken by the Corporation with respect to those transactions. The Corporation believes that its tax returns were filed based upon applicable statutes, regulations and case law in effect at the time of the transactions. The IRS or other tax jurisdictions, an administrative authority or a court, if presented with the transactions, could disagree with the Corporation’s interpretation of the tax law.A reconciliation of the beginning and ending amount of net unrecognized tax benefits follows:(in millions)202420