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INCOME TAXES (Tables) | 12 Months Ended
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May 31, 2019
Income Tax Disclosure [Abstract] |
Geographical Breakdown of Income Before Provision for Income Taxes |
|  | Year Ended May 31, |
(in millions) |  | 2019 |  |  | 2018 |  |  | 2017 |
Domestic |  | $ | 3,774 |  |  | $ | 3,366 |  |  | $ | 3,674 |
Foreign |  |  | 8,494 |  |  |  | 9,058 |  |  |  | 8,006 |
Income before provision for income taxes |  | $ | 12,268 |  |  | $ | 12,424 |  |  | $ | 11,680 |
Components of Provision for Income Taxes |
|  | Year Ended May 31, |
(Dollars in millions) |  | 2019 |  |  | 2018 |  |  | 2017 |
Current provision: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  | $ | 979 |  |  | $ | 8,320 |  |  | $ | 936 |
State |  |  | 300 |  |  |  | 264 |  |  |  | 257 |
Foreign |  |  | 1,097 |  |  |  | 1,100 |  |  |  | 1,475 |
Total current provision |  | $ | 2,376 |  |  | $ | 9,684 |  |  | $ | 2,668 |
Deferred benefit: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  | $ | 483 |  |  | $ | (827 | ) |  | $ | (158 | )
State |  |  | (28 | ) |  |  | (26 | ) |  |  | (29 | )
Foreign |  |  | (1,646 | ) |  |  | 6 |  |  |  | (253 | )
Total deferred benefit |  | $ | (1,191 | ) |  | $ | (847 | ) |  | $ | (440 | )
Total provision for income taxes |  | $ | 1,185 |  |  | $ | 8,837 |  |  | $ | 2,228 |
Effective income tax rate |  | 9.7% |  |  | 71.1% |  |  | 19.1% |
Reconciliation of Differences Between Federal Statutory Tax Rate and Effective Tax Rate |
|  | Year Ended May 31, |
(Dollars in millions) |  | 2019 |  |  | 2018 |  |  | 2017 |
U.S. federal statutory tax rate |  | 21.0% |  |  | 29.2% |  |  | 35.0% |
Tax provision at statutory rate |  | $ | 2,576 |  |  | $ | 3,629 |  |  | $ | 4,088 |
Impact of the Tax Act of 2017: |  |  |  |  |  |  |  |  |  |  |  |
One-time transition tax |  |  | (529 | ) |  |  | 7,781 |  |  |  | — |
Deferred tax effects |  |  | 140 |  |  |  | (911 | ) |  |  | — |
Foreign earnings at other than United States rates |  |  | (789 | ) |  |  | (995 | ) |  |  | (1,312 | )
State tax expense, net of federal benefit |  |  | 197 |  |  |  | 142 |  |  |  | 150 |
Settlements and releases from judicial decisions and statute expirations, net |  |  | (132 | ) |  |  | (252 | ) |  |  | (189 | )
Domestic production activity deduction |  |  | — |  |  |  | (87 | ) |  |  | (119 | )
Federal research and development credit |  |  | (158 | ) |  |  | (174 | ) |  |  | (127 | )
Stock-based compensation |  |  | (201 | ) |  |  | (302 | ) |  |  | (149 | )
Other, net |  |  | 81 |  |  |  | 6 |  |  |  | (114 | )
Total provision for income taxes |  | $ | 1,185 |  |  | $ | 8,837 |  |  | $ | 2,228 |
Components of Deferred Tax Liabilities and Assets |
|  | May 31, |
(in millions) |  | 2019 |  |  | 2018 |
Deferred tax assets: |  |  |  |  |  |  |  |
Accruals and allowances |  | $ | 541 |  |  | $ | 567 |
Employee compensation and benefits |  |  | 646 |  |  |  | 664 |
Differences in timing of revenue recognition |  |  | 322 |  |  |  | 338 |
Basis of property, plant and equipment and intangible assets |  |  | 1,238 |  |  |  | — |
Tax credit and net operating loss carryforwards |  |  | 3,717 |  |  |  | 2,614 |
Total deferred tax assets |  |  | 6,464 |  |  |  | 4,183 |
Valuation allowance |  |  | (1,266 | ) |  |  | (1,308 | )
Total deferred tax assets, net |  |  | 5,198 |  |  |  | 2,875 |
Deferred tax liabilities: |  |  |  |  |  |  |  |
Unrealized gain on stock |  |  | (78 | ) |  |  | (78 | )
Acquired intangible assets |  |  | (973 | ) |  |  | (1,254 | )
GILTI deferred |  |  | (1,515 | ) |  |  | — |
Basis of property, plant and equipment and intangible assets |  |  | — |  |  |  | (158 | )
Other |  |  | (200 | ) |  |  | (48 | )
Total deferred tax liabilities |  |  | (2,766 | ) |  |  | (1,538 | )
Net deferred tax assets |  | $ | 2,432 |  |  | $ | 1,337 |
Recorded as: |  |  |  |  |  |  |  |
Non-current deferred tax assets |  | $ | 2,696 |  |  | $ | 1,395 |
Non-current deferred tax liabilities (in other non-current liabilities) |  |  | (264 | ) |  |  | (58 | )
Net deferred tax assets |  | $ | 2,432 |  |  | $ | 1,337 |
Gross Unrecognized Tax Benefits, Including Acquisitions |
|  | Year Ended May 31, |
(in millions) |  | 2019 |  |  | 2018 |  |  | 2017 |
Gross unrecognized tax benefits as of June 1 |  | $ | 5,592 |  |  | $ | 4,919 |  |  | $ | 4,561 |
Increases related to tax positions from prior fiscal years |  |  | 772 |  |  |  | 200 |  |  |  | 128 |
Decreases related to tax positions from prior fiscal years |  |  | (135 | ) |  |  | (65 | ) |  |  | (218 | )
Increases related to tax positions taken during current fiscal year |  |  | 540 |  |  |  | 840 |  |  |  | 595 |
Settlements with tax authorities |  |  | (153 | ) |  |  | (42 | ) |  |  | (85 | )
Lapses of statutes of limitation |  |  | (202 | ) |  |  | (273 | ) |  |  | (47 | )
Cumulative translation adjustments and other, net |  |  | (66 | ) |  |  | 13 |  |  |  | (15 | )
Total gross unrecognized tax benefits as of May 31 |  | $ | 6,348 |  |  | $ | 5,592 |  |  | $ | 4,919 |

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