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INCOME TAXES (Tables) | 12 Months Ended
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Jun. 30, 2023
Income Tax Disclosure [Abstract] |
Schedule of Income before Income Taxes, Domestic and Foreign | The components of income before income taxes were as follows:
| Year Ended June 30,
(In thousands) | 2023 |  | 2022 |  | 2021
Domestic income before income taxes | $ | 2,017,338 |  |  | $ | 1,909,699 |  |  | $ | 1,251,820 |
Foreign income before income taxes | 1,771,852 |  |  | 1,579,538 |  |  | 1,108,634 |
Total income before income taxes | $ | 3,789,190 |  |  | $ | 3,489,237 |  |  | $ | 2,360,454 |
Schedule of Components of Income Tax Expense (Benefit) | The provision for income taxes was comprised of the following:
(In thousands) | Year Ended June 30,
2023 |  | 2022 |  | 2021
Current: |  |  |  |  |
Federal | $ | 553,197 |  |  | $ | 341,614 |  |  | $ | 201,413 |
State | 14,804 |  |  | 14,149 |  |  | 6,164 |
Foreign | 188,991 |  |  | 165,194 |  |  | 121,146 |
| 756,992 |  |  | 520,957 |  |  | 328,723 |
Deferred: |  |  |  |  |
Federal | (228,414) |  |  | 11,564 |  |  | (31,989) |
State | (4,295) |  |  | (311) |  |  | (1,155) |
Foreign | (122,444) |  |  | (365,033) |  |  | (12,478) |
| (355,153) |  |  | (353,780) |  |  | (45,622) |
Provision for income taxes | $ | 401,839 |  |  | $ | 167,177 |  |  | $ | 283,101 |
Schedule of Deferred Tax Assets and Liabilities | The significant components of deferred income tax assets and liabilities were as follows:
(In thousands) | As of June 30,
2023 |  | 2022
Deferred tax assets: |  |  |
Tax credits and net operating losses | $ | 271,500 |  |  | $ | 268,416 |
Capitalized R&D expenses | 201,228 |  |  | — |
Inventory reserves | 103,646 |  |  | 86,059 |
Employee benefits accrual | 92,696 |  |  | 78,021 |
Depreciation and amortization | 73,691 |  |  | 1,760 |
Non-deductible reserves | 52,147 |  |  | 53,426 |
Unearned revenue | 16,668 |  |  | 11,843 |
SBC | 12,710 |  |  | 9,864 |
Other | 35,360 |  |  | 56,911 |
Gross deferred tax assets | 859,646 |  |  | 566,300 |
Valuation allowance | (259,172) |  |  | (244,429) |
Net deferred tax assets | $ | 600,474 |  |  | $ | 321,871 |
Deferred tax liabilities: |  |  |
Unremitted earnings of foreign subsidiaries not indefinitely reinvested | $ | (279,677) |  |  | $ | (358,374) |
Deferred profit | (23,149) |  |  | (30,268) |
Unrealized gain on investments | (9,994) |  |  | (12,993) |
Total deferred tax liabilities | (312,820) |  |  | (401,635) |
Total net deferred tax liabilities | $ | 287,654 |  |  | $ | (79,764) |
Schedule of Effective Income Tax Rate Reconciliation | The reconciliation of the U.S. federal statutory income tax rate to our effective income tax rate was as follows:
| Year ended June 30,
| 2023 |  | 2022 |  | 2021
Federal statutory rate | 21.0 | % |  | 21.0 | % |  | 21.0 | %
GILTI | 3.4 | % |  | 2.0 | % |  | 2.6 | %
State income taxes, net of federal benefit | 0.2 | % |  | 0.3 | % |  | 0.2 | %
Effect of SBC | 0.1 | % |  | (0.2) | % |  | (0.3) | %
Net change in tax reserves | — | % |  | 2.0 | % |  | (1.1) | %
Tax rate change on deferred tax liability on purchased intangibles | — | % |  | — | % |  | 1.7 | %
Restructuring | — | % |  | (11.2) | % |  | — | %
R&D tax credit | (1.5) | % |  | (1.1) | % |  | (1.1) | %
Foreign derived intangible income | (5.7) | % |  | (4.0) | % |  | (4.3) | %
Effect of foreign operations taxed at various rates | (7.1) | % |  | (4.2) | % |  | (6.6) | %
Other | 0.2 | % |  | 0.2 | % |  | (0.1) | %
Effective income tax rate | 10.6 | % |  | 4.8 | % |  | 12.0 | %
Schedule of Income Tax Contingencies | A reconciliation of gross unrecognized tax benefits was as follows:
| Year Ended June 30,
(In thousands) | 2023 |  | 2022 |  | 2021
Unrecognized tax benefits at the beginning of the year | $ | 217,927 |  |  | $ | 149,642 |  |  | $ | 172,443 |
Increases for tax positions taken in current year | 44,590 |  |  | 49,311 |  |  | 31,113 |
Increases for tax positions taken in prior years | 434 |  |  | 20,917 |  |  | 6,557 |
Decreases for settlements with taxing authorities | (45,042) |  |  | — |  |  | (28,651) |
Decreases for tax positions taken in prior years | (3,929) |  |  | (267) |  |  | (19,360) |
Decreases for lapsing of statutes of limitations | (888) |  |  | (1,676) |  |  | (12,460) |
Unrecognized tax benefits at the end of the year | $ | 213,092 |  |  | $ | 217,927 |  |  | $ | 149,642 |

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