Annual report pursuant to Section 13 and 15(d)

Taxes (Tables)

v3.24.1
Taxes (Tables)
 12 Months Ended
Feb. 03, 2024
Taxes Payable [Abstract]  
Schedule of Income Tax Expense (Benefit)
Income tax expense (benefit) is as follows:
2023 2022 2021
Current Deferred Total Current Deferred Total Current Deferred Total
(millions)
Federal $ 205  $ (193) $ 12  $ 361  $ (56) $ 305  $ 369  $ (21) $ 348 
State and local 58  (51) 7  18  18  36  48  40  88 
$ 263  $ (244) $ 19  $ 379  $ (38) $ 341  $ 417  $ 19  $ 436 
Schedule of Effective Income Tax Reconciliation The reasons for this difference and their tax effects are as follows:
2023 2022 2021
(millions)
Expected tax $ 26  $ 319  $ 392 
State and local income taxes, net of federal income taxes (a) —  23  84 
CARES Act carryback benefit —  —  (29)
Tax impact of equity awards (1) —  — 
Federal tax credits (13) (4) (3)
Change in valuation allowance 5  5  (15)
Other 2  (2) 7 
$ 19  $ 341  $ 436 
(a) 2022 includes an income tax benefit from the favorable resolution of state income tax litigation.
Schedule of Deferred Tax Assets and Liabilities
The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities are as follows:
February 3,
2024		 January 28,
2023
(millions)
Deferred tax assets
Post employment and postretirement benefits $ 25  $ 50 
Accrued liabilities accounted for on a cash basis for tax purposes 109  112 
Lease liabilities 897  881 
Unrecognized state tax benefits and accrued interest 22  22 
State operating loss and credit carryforwards 122  132 
Other 102  112 
Valuation allowance (100) (94)
Total deferred tax assets 1,177  1,215 
Deferred tax liabilities    
Excess of book basis over tax basis of property and equipment (784) (872)
Right of use assets (619) (717)
Merchandise inventories (335) (351)
Intangible assets (115) (116)
Other (69) (106)
Total deferred tax liabilities (1,922) (2,162)
Net deferred tax liability $ (745) $ (947)
Schedule of Unrecognized Tax Benefits Roll Forward
A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
February 3,
2024		 January 28,
2023		 January 29,
2022
(millions)
Balance, beginning of year $ 80  $ 102  $ 113 
Additions based on tax positions related to the current year 10  13  12 
Reductions for tax positions of prior years (2) (20) (11)
Settlements —  (4) (2)
Statute expirations (12) (11) (10)
Balance, end of year $ 76  $ 80  $ 102 
Amounts recognized in the Consolidated Balance Sheets      
Current income taxes $ 4  $ 4  $ 14 
Deferred income taxes 1  1  3 
Other liabilities (b) 71  75  85 
$ 76  $ 80  $ 102 
(b) Unrecognized tax benefits not expected to be settled within one year are included within other liabilities on the Consolidated Balance Sheets.
Schedule of Unrecognized Benefits and Related Interest and Penalties
Additional information regarding unrecognized benefits and related interest and penalties is as follow:
February 3,
2024		 January 28,
2023
(millions)
Amount of unrecognized tax benefits, net of deferred tax assets, that if recognized would affect the effective tax rate
 $ 59  $ 63 
Accrued federal, state and local interest and penalties 26  23 
Amounts recognized in the Consolidated Balance Sheets    
Current income taxes 6  4 
Other liabilities 20  19