XML 51 R36.htm IDEA: XBRL DOCUMENT v3.20.4

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2020

Income Tax Disclosure [Abstract]

Schedule of Income Before Income Taxes

Income tax data for the years ended December 31, 2020, 2019 and 2018 is as follows (in thousands):

		Year Ended December 31,
		2020				2019				2018
The components of income before income taxes are as follows:
Domestic		$	75,193			$	97,325			$	57,822
Foreign			535,721				580,914				624,324
Total		$	610,914			$	678,239			$	682,146

Components of Income Taxes

		Year Ended December 31,
		2020				2019				2018
The components of the income tax provision were as follows:
Federal		$	28,385			$	7,009			$	27,277
State			4,243				3,329				(11,964	)
Foreign			59,408				66,083				70,634
Total current tax provision		$	92,036			$	76,421			$	85,947
Federal		$	(8,244	)		$	6,913			$	(3,256	)
State			(506	)			1,253				2,247
Foreign			6,057				1,454				3,414
Total deferred tax provision			(2,693	)			9,620				2,405
Total provision		$	89,343			$	86,041			$	88,352

Effective Income Tax Rate Reconciliation

The differences between income taxes computed at the United States statutory rate and the provision for income taxes are summarized as follows for the years ended December 31, 2020, 2019 and 2018 (in thousands):

		Year Ended December 31,
		2020				2019				2018
Federal tax computed at U.S. statutory income tax rate		$	128,292			$	142,430			$	143,251
Enactment of the 2017 Tax Cuts and Jobs Act			—				—				(6,059	)
Foreign currency exchange impact on distributed earnings			—				(3,229	)			7,495
GILTI, net of foreign tax credits			13,319				10,523				13,727
State income tax, net of federal income tax benefit			2,415				3,459				2,910
Net effect of foreign operations			(48,962	)			(52,727	)			(57,003	)
Effect of stock-based compensation			(6,798	)			(9,211	)			(9,089	)
Other, net			1,077				(5,204	)			(6,880	)
Provision for income taxes		$	89,343			$	86,041			$	88,352

Components of Deferred Tax Assets and Liabilities

The tax effects of temporary differences and carryforwards which give rise to deferred tax assets and deferred tax liabilities are summarized as follows (in thousands):

		December 31,
		2020				2019
Deferred tax assets:
Net operating losses and credits		$	61,962			$	55,939
Depreciation			5,701				4,776
Operating leases			24,317				19,849
Amortization			2,377				3,738
Stock-based compensation			7,773				9,790
Deferred compensation			27,754				20,077
Unrealized foreign currency gain/loss			—				7,955
Deferred revenue			11,341				9,696
Revaluation of equity investments and licenses			4,492				3,424
Inventory			5,060				4,824
Accrued liabilities and reserves			10,639				7,215
Other			3,483				3,839
Total deferred tax assets			164,899				151,122
Valuation allowance			(60,101	)			(51,221	)
Deferred tax assets, net of valuation allowance			104,798				99,901
Deferred tax liabilities:
Capitalized software			(23,748	)			(21,025	)
Operating leases			(24,314	)			(19,553	)
Indefinite-lived intangibles			(14,973	)			(14,363	)
Unrealized foreign currency gain/loss			(10,819	)			—
Deferred tax liability on foreign earnings			(17,277	)			(18,027	)
Total deferred tax liabilities			(91,131	)			(72,968	)
Net deferred tax assets		$	13,667			$	26,933

Unrecognized Tax Benefits

The following is a summary of the activity of the Company’s gross unrecognized tax benefits, excluding interest and penalties, for the year ended December 31, 2020, 2019 and 2018 (in thousands):

		2020				2019				2018
Balance at the beginning of the period		$	27,790			$	26,108			$	5,843
Net reductions for settlement of tax audits			(399	)			—				—
Net reductions for lapse of statutes taken during the period			(684	)			(261	)			(436	)
Net additions for tax positions taken during the prior period			—				—				17,651
Net additions for tax positions taken during the current period			1,959				1,943				3,050
Balance at the end of the period		$	28,666			$	27,790			$	26,108

Company's valuation allowance

The following is a summary of the activity of the Company’s valuation allowance for the years ended December 31, 2020, 2019 and 2018 (in thousands):

		Balance at Beginning of Period				Charged to Provision for Income Taxes*				Other**				Balance at End of Period
Valuation allowance for deferred tax assets:
2020		$	51,221			$	1,137			$	7,743			$	60,101
2019		$	53,893			$	(1,242	)		$	(1,430	)		$	51,221
2018		$	62,098			$	(2,128	)		$	(6,077	)		$	53,893

* These amounts have been recorded as part of the income statement provision for income taxes. The income statement effects of these amounts have largely been offset by amounts related to changes in other deferred tax balance sheet accounts.

** The change in the valuation allowance during the year ended December 31, 2020 is primarily due to the effect of foreign currency translation on a valuation allowance related to a net operating loss carryforward and acquired historical net operating losses. The change in the valuation allowance during the year ended December 31, 2019 was primarily due to the effect of foreign currency translation on a valuation allowance related to a net operating loss carryforward. The change in the valuation allowance during the year ended December 31, 2018 was primarily due to the write-off of a valuation allowance to Retained Earnings for the tax effect related to intra-entity transfers.

X

- References

No definition available.

+ Details

Name:	us-gaap_IncomeTaxDisclosureAbstract
Namespace Prefix:	us-gaap_
Data Type:	xbrli:stringItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the components of income tax expense attributable to continuing operations for each year presented including, but not limited to: current tax expense (benefit), deferred tax expense (benefit), investment tax credits, government grants, the benefits of operating loss carryforwards, tax expense that results from allocating certain tax benefits either directly to contributed capital or to reduce goodwill or other noncurrent intangible assets of an acquired entity, adjustments of a deferred tax liability or asset for enacted changes in tax laws or rates or a change in the tax status of the entity, and adjustments of the beginning-of-the-year balances of a valuation allowance because of a change in circumstances that causes a change in judgment about the realizability of the related deferred tax asset in future years.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 9
-URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32639-109319

+ Details

Name:	us-gaap_ScheduleOfComponentsOfIncomeTaxExpenseBenefitTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the components of net deferred tax asset or liability recognized in an entity's statement of financial position, including the following: the total of all deferred tax liabilities, the total of all deferred tax assets, the total valuation allowance recognized for deferred tax assets.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32537-109319

+ Details

Name:	us-gaap_ScheduleOfDeferredTaxAssetsAndLiabilitiesTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the reconciliation using percentage or dollar amounts of the reported amount of income tax expense attributable to continuing operations for the year to the amount of income tax expense that would result from applying domestic federal statutory tax rates to pretax income from continuing operations.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 12
-URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32687-109319

+ Details

Name:	us-gaap_ScheduleOfEffectiveIncomeTaxRateReconciliationTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of income before income tax between domestic and foreign jurisdictions.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(h)(1)(i))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

+ Details

Name:	us-gaap_ScheduleOfIncomeBeforeIncomeTaxDomesticAndForeignTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the change in unrecognized tax benefits.

+ References

Reference 1: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 55
-Paragraph 217
-URI http://asc.fasb.org/extlink&oid=121610041&loc=d3e36027-109320

Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 15A
-URI http://asc.fasb.org/extlink&oid=84230637&loc=SL6600010-109319

+ Details

Name:	us-gaap_ScheduleOfUnrecognizedTaxBenefitsRollForwardTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the activity by class in any valuation allowance for impairment of recognized servicing assets - including beginning and ending balances, aggregate additions charged and recoveries credited to operations, and aggregate write-downs charged against allowance.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 860
-SubTopic 50
-Section 50
-Paragraph 4
-Subparagraph (e)
-URI http://asc.fasb.org/extlink&oid=116651436&loc=d3e122739-111746

+ Details

Name:	us-gaap_ScheduleOfValuationAllowanceForImpairmentOfRecognizedServicingAssetsTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration