INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2025

Schedule of (Benefit) Provision for Income Taxes


INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES	2025		2024		2023
U.S. income (loss)	$	6,659	$	4,809	$	7,195
Non-U.S. income (loss)	3,341		2,811		3,246
Total	$	10,000	$	7,620	$	10,441


PROVISION (BENEFIT) FOR INCOME TAXES	2025		2024		2023
Current
U.S. Federal	$	671	$	310	$	(588)
Non-U.S.	709		423		314
U.S. State	(72)		48		134
Deferred
U.S. Federal	(35)		250		622
Non-U.S.	32		59		453
U.S. State	100		(128)		59
Total	$	1,405	$	962	$	994

Schedule of Income Taxes Paid


INCOME TAX PAYMENTS	2025
U.S. Federal(a)	$	150
U.S. State(a)	7
Non-U.S:
Singapore	178
United Kingdom	78
Ireland	60
Hungary	52
Italy	46
India	36
Other Non-U.S.	132
Total income taxes paid (received), continuing operations	$	739

(a) Includes the benefit of the OBBBA.

Schedule of Reconciliation of U.S. Federal Statutory Income Tax Rate to Effective Income Tax Rate


RECONCILIATION OF U.S. FEDERAL STATUTORY INCOME TAX RATE TO EFFECTIVE INCOME TAX RATE	2025
	Amount		Rate
U.S. federal statutory income tax rate	$	2,100	21.0	%
State and local income taxes, net of federal income tax effect(a)	74		0.7	%
Foreign tax effects:
Singapore
Statutory rate difference between foreign and U.S.	(70)		(0.7)	%
Local taxes at a rate different than the statutory rate(b)	(37)		(0.4)	%
Other	53		0.5	%
Other foreign jurisdictions	68		0.7	%

Effect of cross-border tax laws
Foreign-derived intangible income	(338)		(3.4)	%
Other	7		0.1	%
Tax credits
Energy-related tax credits	(213)		(2.1)	%
R&D credit	(354)		(3.5)	%
Change in valuation allowances	(91)		(0.9)	%
Nontaxable or nondeductible items	(54)		(0.5)	%
Changes in unrecognized tax benefits	258		2.6	%
Other adjustments	2		—	%
Effective income tax rate	$	1,405	14.1	%

(a) State and local taxes in FL, MA, KS, TN and CA comprise the majority of this category.

(b) The tax expense (benefit) related to the negotiated tax rate in Singapore was reduced by $121 million of the global minimum tax under Pillar 2.

Below is a tabular rate reconciliation previously disclosed for the year ended December 31, 2024 and 2023.


RECONCILIATION OF U.S. FEDERAL STATUTORY INCOME TAX RATE TO EFFECTIVE INCOME TAX RATE	2024					2023
		Amount		Rate			Amount		Rate
U.S. federal statutory income tax rate		$	1,600	21.0	%		$	2,193	21.0	%
State Taxes, net of federal benefit		123		1.6			152		1.5
Tax on global activities including exports(a)		(92)		(1.2)			78		0.7
U.S. business credits(b)		(242)		(3.2)			(254)		(2.4)



Retained and sold ownership interests		(110)		(1.4)			(1,215)		(11.6)
All other – net(c)		(317)		(4.2)			40		0.3
		(638)		(8.4)			(1,199)		(11.5)
Effective income tax rate		$	962	12.6	%		$	994	9.5	%

(a)For the years ended December 31, 2024 and 2023, the tax expense (benefit) related to the negotiated tax rate in Singapore was $(136) million and $(136) million, respectively, and the tax expense (benefit) related to cross-border tax payments and U.S. tax on non-U.S. subsidiaries was $88 million and $121 million, respectively.

(b)Primarily the credit for energy produced from renewable sources from tax equity investments and the credit for research performed in the U.S.

(c)For the years ended December 31, 2024 and 2023, included $(246) million and $35 million, respectively, for separation income tax costs (benefits), of which zero and $38 million was due to the repatriation of previously reinvested net income.

Schedule of Unrecognized Tax Benefits

A summary and reconciliation of our unrecognized tax benefits are as follows:


UNRECOGNIZED TAX BENEFITS December 31	2025		2024		2023
Unrecognized tax benefits	$	3,056	$	2,824	$	3,399
Portion that, if recognized, would reduce tax expense and effective tax rate(a)	2,381		2,110		2,708
Accrued interest on unrecognized tax benefits	656		609		635
Accrued penalties on unrecognized tax benefits	11		14		111

(a) Some portion of such reduction may be reported as discontinued operations.

Schedule of Unrecognized Tax Benefits Reconciliation


UNRECOGNIZED TAX BENEFITS RECONCILIATION	2025		2024		2023
Balance at January 1	$	2,824	$	3,399	$	3,951
Additions for tax positions of the current year	347		68		109
Additions for tax positions of prior years	93		77		156
Reductions for tax positions of prior years(a)	(168)		(649)		(710)
Settlements with tax authorities	(30)		(14)		(56)
Expiration of the statute of limitations	(10)		(57)		(51)
Balance at December 31	$	3,056	$	2,824	$	3,399

(a) Included $(612) million due to the spin of GE Vernova for 2024 and $(577) million due to the spin of GE HealthCare for 2023.

Schedule of Deferred Income Taxes

The following table presents our net deferred tax assets and net deferred tax liabilities attributable to different tax jurisdictions or different tax paying components.


DEFERRED INCOME TAXES December 31	2025		2024
Total assets	$	7,883	$	7,479
Total liabilities	(424)		(368)
Net deferred income tax asset (liability)	$	7,459	$	7,111


COMPONENTS OF THE NET DEFERRED INCOME TAX ASSET (LIABILITY) December 31	2025		2024
Deferred tax assets
Insurance company loss reserves	$	2,398	$	2,349
Progress collections, Contract assets, Contract liabilities and deferred items	1,764		1,435
Accrued expenses and reserves	1,278		1,231
Deferred expenses	1,231		1,398
Other compensation and benefits	580		510
Principal pension plans	989		1,009
Non-U.S. loss carryforwards(a)	2,133		1,891
Capital losses carryforward	881		849
State deferred tax assets(b)	684		762

Other	1,522		1,514
Total deferred tax assets	$	13,460	$	12,948
Valuation allowance(a)(b)(c)	(3,338)		(3,216)
Total deferred tax assets after valuation allowance	$	10,122	$	9,732
Deferred tax liabilities
Intangibles	$	(1,097)	$	(1,049)
Depreciation	(732)		(712)
Investment in securities	(640)		(661)
Other	(194)		(199)
Total deferred tax liabilities	(2,663)		(2,621)
Net deferred income tax asset (liability)	$	7,459	$	7,111

(a)Included valuation allowances for non-U.S. loss carryforwards of $1,439 million and $1,362 million as of December 31, 2025 and 2024, respectively. The net deferred tax asset as of December 31, 2025 of $694 million relates to net operating losses that may be carried forward indefinitely.

(b) Included valuation allowances for U.S. state losses and credit carryforwards of $479 million and $490 million as of December 31, 2025 and 2024, respectively. Of the $95 million of net deferred tax assets for U.S. state losses and credit carryforwards as of December 31, 2025, $12 million relates to state attributes that expire in various year ending from December 31, 2026 through December 31, 2028, $78 million relates to state attributes that expire various years ending from December 31, 2029 through December 31, 2045, and $5 million relates to state attributes that may be carried forward indefinitely.

(c) Included valuation allowances related to assets other than non-U.S. loss carryforwards and U.S. state loss and credit carryforwards of $1,420 million and $1,364 million as of December 31, 2025 and 2024, respectively, related primarily to excess U.S. federal capital loss and foreign tax credit carryforwards.

Schedule of Deferred Tax Assets Valuation Allowance


DEFERRED TAX ASSETS VALUATION ALLOWANCE
Balance at December 31, 2022	$	(5,164)
Additions charged to income tax expense	—
Reductions credited to income tax expense	102
Other adjustments(a)	1,646
Balance at December 31, 2023	$	(3,416)
Additions charged to income tax expense	(2)
Reductions credited to income tax expense	184
Other adjustments	18
Balance at December 31, 2024	$	(3,216)
Additions charged to income tax expense	(2)
Reductions credited to income tax expense	71
Other adjustments	(191)
Balance at December 31, 2025	$	(3,338)

(a) Primarily related to utilization of losses against capital gains, including gains reported in discontinued operations. See Note 2 for further information.

GENERAL ELECTRIC CO 10-K