v3.25.4
Income taxes (Tables)
12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Summary of Income Tax Expense (Benefit)
millions of Canadian dollars2025 2024 2023 
Current income tax expense (benefit)
1,125 1,586 1,556 
Deferred income tax expense (benefit)
(131)(137)(76)
Total income tax expense (benefit)
994 1,449 1,480 
Federal625 902 920 
Provincial369 547 560 
Total income tax expense (benefit)994 1,449 1,480 
Income (loss) before income taxes4,262 6,239 6,369 
Canadian federal statutory tax rate639 15.0%935 15.0%955 15.0%
Provincial (a)
376 8.8%567 9.1%582 9.1%
Increase (decrease) resulting from:
Other(21)(0.5%)(53)(0.9%)(57)(0.9%)
Effective income tax rate994 23.3%1,449 23.2%1,480 23.2%
(a)Provincial taxes in Alberta make up the majority (50 percent or more).
Components of Deferred Income Tax Liabilities and Assets Components of deferred income tax liabilities and assets as at December 31 were:
millions of Canadian dollars2025 2024 2023 
Depreciation and amortization5,311 5,267 5,366 
Successful drilling and land acquisitions236 236 237 
Pension and benefits38 (15)(168)
Asset retirement obligation(858)(686)(655)
Capitalized interest202 185 155 
LIFO inventory valuation(297)(468)(406)
Tax loss carryforwards(65)(66)(69)
Valuation allowance65 66 69 
Other(214)(35)(60)
Net deferred income tax liabilities4,418 4,484 4,469 
Summary of Income Taxes (Paid) Refunded
The following table summarizes total income taxes (paid) refunded:

millions of Canadian dollars2025 2024 2023 
Federal(901)(1,119)(2,562)
Provincial
Alberta(342)(380)(1,048)
Ontario(131)(176)(343)
Other(61)(96)(200)
Total income taxes (paid) refunded(1,435)(1,771)(4,153)
Unrecognized Tax Benefits
The following table summarizes the movement in unrecognized tax benefits:

millions of Canadian dollars2025 2024 2023 
Balance as of January 134 47 60 
Additions based on current year’s tax position6 2 7 
Additions for prior years’ tax positions3 — — 
Settlements with tax authorities(1)(15)(20)
Balance as of December 3142 34 47