XML 48 R28.htm IDEA: XBRL DOCUMENT
v3.22.4

Taxes on Income (Tables) | 12 Months Ended
--- | ---
Dec. 31, 2022
Income Tax Disclosure [Abstract] |
Schedule of Income Before Taxes from Domestic and Foreign Operations | Income before taxes on income resulting from domestic and foreign operations is as follows:
(in millions) | Year Ended December 31,
| 2022 |  | 2021 |  | 2020
Domestic operations | $ | 3,426 |  |  | $ | 2,874 |  |  | $ | 2,226 |
Foreign operations | 1,276 |  |  | 1,290 |  |  | 1,002 |
Total income before taxes | $ | 4,702 |  |  | $ | 4,164 |  |  | $ | 3,228 |
Schedule of Provision for Taxes on Income | The provision for taxes on income consists of the following:
(in millions) | Year Ended December 31,
| 2022 |  | 2021 |  | 2020
Federal: |  |  |  |  |
Current | $ | 928 |  |  | $ | 438 |  |  | $ | 349 |
Deferred | (185) |  |  | (9) |  |  | 1 |
Total federal | 743 |  |  | 429 |  |  | 350 |
Foreign: |  |  |  |  |
Current | 322 |  |  | 295 |  |  | 246 |
Deferred | (98) |  |  | 23 |  |  | (9) |
Total foreign | 224 |  |  | 318 |  |  | 237 |
State and local: |  |  |  |  |
Current | 265 |  |  | 153 |  |  | 111 |
Deferred | (52) |  |  | 1 |  |  | (4) |
Total state and local | 213 |  |  | 154 |  |  | 107 |
Total provision for taxes | $ | 1,180 |  |  | $ | 901 |  |  | $ | 694 |
Schedule of Reconciliation of Federal Statutory Income Tax Rate to Effective Income Tax Rate | A reconciliation of the U.S. federal statutory income tax rate to our effective income tax rate for financial reporting purposes is as follows:
| Year Ended December 31,
| 2022 |  | 2021 |  | 2020
U.S. federal statutory income tax rate | 21.0 | % |  | 21.0 | % |  | 21.0 | %
State and local income taxes | 3.9 |  |  | 3.3 |  |  | 3.0 |
Divestitures | 2.9 |  |  | — |  |  | — |
Foreign operations | (2.8) |  |  | (0.2) |  |  | (0.3) |
Stock-based compensation | — |  |  | (0.8) |  |  | (0.7) |
S&P Dow Jones Indices LLC joint venture | (1.1) |  |  | (1.1) |  |  | (1.2) |
Tax credits and incentives | (1.3) |  |  | (2.3) |  |  | (2.2) |
Other, net | 2.5 |  |  | 1.7 |  |  | 1.9 |
Effective income tax rate | 25.1 | % |  | 21.6 | % |  | 21.5 | %
Schedule of Differences Between the Accounting for Income and Expenses for Financial Reporting and Income Tax | The principal temporary differences between the accounting for income and expenses for financial reporting and income tax purposes are as follows:
(in millions) | December 31,
| 2022 |  | 2021
Deferred tax assets: |  |  |
Employee compensation | $ | 100 |  |  | $ | 57 |
Accrued expenses | 179 |  |  | 54 |
Postretirement benefits | 27 |  |  | 28 |
Unearned revenue | 67 |  |  | 74 |
Forward exchange contracts | — |  |  | 71 |
Fixed Assets | 49 |  |  | — |
Loss carryforwards | 537 |  |  | 204 |
Lease liabilities | 170 |  |  | 142 |
Other | 126 |  |  | 32 |
Total deferred tax assets | 1,255 |  |  | 662 |
Deferred tax liabilities: |  |  |
Goodwill and intangible assets | (4,791) |  |  | (394) |
Right of use asset | (100) |  |  | (101) |
Postretirement benefits | (33) |  |  | (46) |
Forward exchange contracts | (41) |  |  | — |
Fixed assets | — |  |  | (6) |
Total deferred tax liabilities | (4,965) |  |  | (547) |
Net deferred income tax asset before valuation allowance | (3,710) |  |  | 115 |
Valuation allowance | (274) |  |  | (206) |
Net deferred income tax liability | $ | (3,984) |  |  | $ | (91) |
Reported as: |  |  |
Non-current deferred tax assets | $ | 81 |  |  | $ | 56 |
Non-current deferred tax liabilities | (4,065) |  |  | (147) |
Net deferred income tax liability | $ | (3,984) |  |  | $ | (91) |
Reconciliation of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
(in millions) | Year ended December 31,
| 2022 |  | 2021 |  | 2020
Balance at beginning of year | $ | 147 |  |  | $ | 121 |  |  | $ | 124 |
Additions based on tax positions related to the current year | 28 |  |  | 35 |  |  | 24 |
Additions for tax positions of prior years | 62 |  |  | 9 |  |  | 1 |
Reduction for tax positions of prior years | — |  |  | — |  |  | (13) |
Reduction for settlements | — |  |  | (8) |  |  | (4) |
Expiration of applicable statutes of limitations | (14) |  |  | (10) |  |  | (11) |
Balance at end of year | $ | 223 |  |  | $ | 147 |  |  | $ | 121 |

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 https://asc.fasb.org/extlink&oid=121826272&loc=d3e32639-109319 + Details
Name: | us-gaap_ScheduleOfComponentsOfIncomeTaxExpenseBenefitTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types: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 https://asc.fasb.org/extlink&oid=121826272&loc=d3e32537-109319 + Details
Name: | us-gaap_ScheduleOfDeferredTaxAssetsAndLiabilitiesTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types: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 https://asc.fasb.org/extlink&oid=121826272&loc=d3e32687-109319 + Details
Name: | us-gaap_ScheduleOfEffectiveIncomeTaxRateReconciliationTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types: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://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(h)(1)(Note 1)) -URI https://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690 + Details
Name: | us-gaap_ScheduleOfIncomeBeforeIncomeTaxDomesticAndForeignTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types: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 https://asc.fasb.org/extlink&oid=126976462&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 https://asc.fasb.org/extlink&oid=121826272&loc=SL6600010-109319 + Details
Name: | us-gaap_ScheduleOfUnrecognizedTaxBenefitsRollForwardTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration