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Taxes on Income (Tables)

12 Months Ended

Dec. 31, 2023

Income Tax Disclosure [Abstract]

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

A reconciliation between the effective tax rate for income from continuing operations and the U.S. statutory rate is as follows:

			2023												2022												2021
			Amount						Tax Rate						Amount						Tax Rate						Amount						Tax Rate
U.S. statutory rate applied to income from continuing operations before taxes			$	397					21.0		%				$	3,453					21.0		%				$	2,915					21.0		%
Differential arising from:
Acquisition of Prometheus			2,139						113.3						—						—						—						—
Acquisition of Imago			253						13.4						—						—						—						—
Valuation allowances			70						3.7						108						0.7						102						0.7
Acquisition-related costs, including amortization			42						2.2						(3)						—						8						0.1
Restructuring			41						2.2						11						0.1						61						0.4
Foreign earnings			(941)						(49.8)						(1,821)						(11.1)						(1,456)						(10.5)
GILTI and the foreign-derived intangible income deduction			(80)						(4.3)						462						2.8						(75)						(0.5)
R&D tax credit			(214)						(11.3)						(117)						(0.7)						(113)						(0.8)
State taxes			(117)						(6.2)						(110)						(0.7)						2						—
Inventory donations			(65)						(3.5)						(52)						(0.3)						(41)						(0.3)
Tax settlements			—						—						(10)						(0.1)						(275)						(2.0)
Acquisition of Pandion			—						—						—						—						356						2.6
Other			(13)						(0.7)						(3)						—						37						0.3
			$	1,512					80.0		%				$	1,918					11.7		%				$	1,521					11.0		%

Where applicable, the impact of changes in uncertain tax positions is reflected in the reconciling items above.

Income Before Taxes

Income from continuing operations before taxes consisted of:

Years Ended December 31			2023						2022						2021
Domestic			$	(15,622)					$	1,011					$	1,854
Foreign			17,511						15,433						12,025
			$	1,889					$	16,444					$	13,879

Taxes on Income

Taxes on income from continuing operations consisted of:

Years Ended December 31			2023						2022						2021
Current provision
Federal			$	928					$	2,265					$	74
Foreign			2,435						1,164						1,273
State			48						57						(13)
			3,411						3,486						1,334
Deferred provision
Federal			(1,559)						(1,510)						240
Foreign			(233)						71						(77)
State			(107)						(129)						24
			(1,899)						(1,568)						187
			$	1,512					$	1,918					$	1,521

Deferred Income Taxes

Deferred income taxes at December 31 consisted of:

			2023												2022
			Assets						Liabilities						Assets						Liabilities
Product intangibles and licenses			$	—					$	1,308					$	—					$	2,575
R&D capitalization			2,099						—						1,341						—
Inventory related			86						370						43						423
Accelerated depreciation			—						626						—						666
Equity investments			—						73						—						92
Pensions and other postretirement benefits			323						249						372						284
Compensation related			357						—						335						—
Unrecognized tax benefits			147						—						91						—
Net operating losses and other tax credit carryforwards			868						—						912						—
Other			713						214						520						267
Subtotal			4,593						2,840						3,614						4,307
Valuation allowance			(656)												(599)
Total deferred taxes			$	3,937					$	2,840					$	3,015					$	4,307
Net deferred income taxes			$	1,097																	$	1,292
Recognized as:
Other Assets			$	1,968											$	503
Deferred Income Taxes									$	871											$	1,795

Income Taxes Paid

Income taxes paid in 2023, 2022 and 2021 (including amounts attributable to discontinued operations in 2021) consisted of:

Years Ended December 31			2023						2022						2021
Domestic (1)			$	2,258					$	1,891					$	1,211
Foreign			2,080						1,348						1,201
			$	4,338					$	3,239					$	2,412

(1)    Includes TCJA transition tax payments.

Unrecognized Tax Benefits

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

			2023						2022						2021
Balance January 1			$	1,835					$	1,529					$	1,537
Additions related to current year positions			553						344						306
Additions related to prior year positions			91						48						63
Reductions for tax positions of prior years (1)			(20)						(40)						(230)
Settlements (1)			(23)						(6)						(46)
Lapse of statute of limitations			(52)						(40)						(58)
Spin-off of Organon			—						—						(43)
Balance December 31			$	2,384					$	1,835					$	1,529

(1)    Amount in 2021 reflects a settlement with the IRS discussed below.

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