XML 66 R42.htm IDEA: XBRL DOCUMENT v3.10.0.1

Taxes on Income (Tables)

12 Months Ended

Dec. 31, 2018

Income Tax Disclosure [Abstract]

Reconciliation Between Effective Tax Rate and U.S. Statutory Rate

A reconciliation between the effective tax rate and the U.S. statutory rate is as follows:

	2018							2017							2016
	Amount				Tax Rate			Amount				Tax Rate			Amount				Tax Rate
U.S. statutory rate applied to income before taxes	$	1,827			21.0	%		$	2,282			35.0	%		$	1,631			35.0	%
Differential arising from:
Impact of the TCJA	289				3.3			2,625				40.3			—				—
Valuation allowances	269				3.1			632				9.7			(5		)		(0.1	)
Impact of purchase accounting adjustments, including amortization	267				3.1			713				10.9			623				13.4
State taxes	201				2.3			77				1.2			173				3.7
Restructuring	56				0.6			142				2.2			145				3.1
Foreign earnings	(245		)		(2.8	)		(1,654		)		(25.4	)		(1,546		)		(33.2	)
R&D tax credit	(96		)		(1.1	)		(71		)		(1.1	)		(58		)		(1.3	)
Tax settlements	(22		)		(0.3	)		(356		)		(5.5	)		—				—
Other (1)	(38		)		(0.4	)		(287		)		(4.4	)		(245		)		(5.2	)
	$	2,508			28.8	%		$	4,103			62.9	%		$	718			15.4	%

⁽¹⁾  Other includes the tax effects of losses on foreign subsidiaries and miscellaneous items.

Income Before Taxes

Income before taxes consisted of:

Years Ended December 31	2018				2017				2016
Domestic	$	3,717			$	3,483			$	518
Foreign	4,984				3,038				4,141
	$	8,701			$	6,521			$	4,659

Taxes on Income

Taxes on income consisted of:

Years Ended December 31	2018				2017				2016
Current provision
Federal	$	536			$	5,585			$	1,166
Foreign	2,281				1,229				916
State	200				(90		)		157
	3,017				6,724				2,239
Deferred provision
Federal	(402		)		(2,958		)		(1,255		)
Foreign	(64		)		75				(225		)
State	(43		)		262				(41		)
	(509		)		(2,621		)		(1,521		)
	$	2,508			$	4,103			$	718

Deferred Income Taxes

Deferred income taxes at December 31 consisted of:

	2018								2017
	Assets				Liabilities				Assets				Liabilities
Product intangibles and licenses	$	720			$	1,640			$	307			$	2,256
Inventory related	32				377				29				499
Accelerated depreciation	—				582				28				642
Pensions and other postretirement benefits	565				151				498				192
Compensation related	291				—				314				—
Unrecognized tax benefits	174				—				156				—
Net operating losses and other tax credit carryforwards	715				—				654				—
Other	621				66				909				52
Subtotal	3,118				2,816				2,895				3,641
Valuation allowance	(1,348		)						(900		)
Total deferred taxes	$	1,770			$	2,816			$	1,995			$	3,641
Net deferred income taxes					$	1,046							$	1,646
Recognized as:
Other assets	$	656							$	573
Deferred income taxes					$	1,702							$	2,219

Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

	2018				2017				2016
Balance January 1	$	1,723			$	3,494			$	3,448
Additions related to current year positions	221				146				196
Additions related to prior year positions	142				520				75
Reductions for tax positions of prior years (1)	(73		)		(1,038		)		(90		)
Settlements (1)	(91		)		(1,388		)		(92		)
Lapse of statute of limitations	(29		)		(11		)		(43		)
Balance December 31	$	1,893			$	1,723			$	3,494

⁽¹⁾  Amounts reflect the settlements with the IRS as discussed below.

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=26873400&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://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 55
-Paragraph 217
-URI http://asc.fasb.org/extlink&oid=109238393&loc=d3e36027-109320

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-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