BP expects its future US after-tax earnings to be positively impacted by the recently enacted changes to US corporate taxes, largely due to the reduction of the US federal corporate income tax rate from 35% to 21% effective on January 1, 2018, the British energy company said in a press release on January 2.

“The ultimate impact of the change in the US corporate income tax rate is subject to a number of complex provisions in the legislation which BP is reviewing,” the British energy giant said, adding that the lowering of the US corporate income tax rate to 21% requires revaluation of BP’s US deferred tax assets and liabilities.

BP said the current estimated impact of this would be a one-off non-cash charge to the Group income statement of around $1.5 billion that will impact BP’s fourth quarter 2017 results.

BP said it expects to disclose details of the final actual charge in the Group’s fourth quarter 2017 results announcement, due on February 6, 2018.