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Income Taxes (Tables) | 12 Months Ended
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Oct. 31, 2020
Income Tax Disclosure [Abstract] |
Domestic and Foreign Components of Total Income Before Provision for Income Tax | The domestic and foreign components of the Company’s total income (loss) before provision for income taxes are as follows:
| Year Ended October 31,
| 2020 |  | 2019 |  | 2018
| (in thousands)
United States | $ | 544,391 |  |  | $ | 487,430 |  |  | $ | (18,029 | )
Foreign | 93,768 |  |  | 58,076 |  |  | 381,572 |
Total income (loss) before provision for income taxes | $ | 638,159 |  |  | $ | 545,506 |  |  | $ | 363,543 |
Components of (Benefit) Provision for Income Taxes | The components of the provision (benefit) for income taxes were as follows:
| Year Ended October 31,
| 2020 |  | 2019 |  | 2018
| (in thousands)
Current: |  |  |  |  |
Federal | $ | 29,272 |  |  | $ | 22,821 |  |  | $ | (1,120 | )
State | 1,863 |  |  | 11,846 |  |  | 2,025 |
Foreign | 55,103 |  |  | 61,092 |  |  | 140,430 |
| 86,238 |  |  | 95,759 |  |  | 141,335 |
Deferred: |  |  |  |  |
Federal | (84,739 | ) |  | (41,219 | ) |  | (139,547 | )
State | (20,233 | ) |  | (7,227 | ) |  | (25,661 | )
Foreign | (6,554 | ) |  | (34,174 | ) |  | (45,102 | )
| (111,526 | ) |  | (82,620 | ) |  | (210,310 | )
Provision (benefit) for income taxes | $ | (25,288 | ) |  | $ | 13,139 |  |  | $ | (68,975 | )
Rate Reconciliation Between Provision for Income Taxes and Taxes Computed at Statutory Federal Rate | The provision (benefit) for income taxes differs from the taxes computed with the statutory federal income tax rate as follows:
| Year Ended October 31,
| 2020 |  | 2019 |  | 2018
| (in thousands)
Statutory federal tax | $ | 133,979 |  |  | $ | 114,557 |  |  | $ | 85,142 |
State tax (benefit), net of federal effect | (29,096 | ) |  | 6,529 |  |  | (32,351 | )
Tax credits | (39,206 | ) |  | (34,485 | ) |  | (35,142 | )
Tax on foreign earnings | (3,980 | ) |  | 23,467 |  |  | (104,252 | )
Foreign-derived intangible income deduction | (24,282 | ) |  | (26,615 | ) |  | — |
Tax settlements | (13,167 | ) |  | (10,953 | ) |  | (14,691 | )
Stock-based compensation | (50,047 | ) |  | (25,356 | ) |  | (19,293 | )
Changes in valuation allowance | (614 | ) |  | (42,144 | ) |  | 78,192 |
Integration of acquired technologies | — |  |  | — |  |  | 27,927 |
Undistributed earnings of foreign subsidiaries | — |  |  | 6,341 |  |  | (974 | )
Impact of tax restructuring | — |  |  | — |  |  | (171,979 | )
Impact of Tax Act rate change | — |  |  | — |  |  | 51,075 |
Transition tax | — |  |  | — |  |  | 63,107 |
Other | 1,125 |  |  | 1,798 |  |  | 4,264 |
Provision (benefit) for income taxes | $ | (25,288 | ) |  | $ | 13,139 |  |  | $ | (68,975 | )
Components of Deferred Tax Assets and Liabilities | The significant components of deferred tax assets and liabilities were as follows:
| October 31,
| 2020 |  | 2019
| (in thousands)
Net deferred tax assets: |  |  |
Deferred tax assets: |  |  |
Deferred revenue | 2,367 |  |  | — |
Deferred compensation | 55,172 |  |  | 56,483 |
Intangible and depreciable assets | 115,097 |  |  | 160,072 |
Capitalized research and development costs | 118,857 |  |  | 48,804 |
Stock-based compensation | 28,478 |  |  | 20,372 |
Tax loss carryovers | 35,571 |  |  | 40,068 |
Foreign tax credit carryovers | 18,645 |  |  | 20,187 |
Research and other tax credit carryovers | 320,317 |  |  | 278,382 |
Operating Lease Liabilities | 101,386 |  |  | — |
Gross deferred tax assets | 795,890 |  |  | 624,368 |
Valuation allowance | (158,895 | ) |  | (157,343 | )
Total deferred tax assets | 636,995 |  |  | 467,025 |
Deferred tax liabilities: |  |  |
Intangible assets | 45,915 |  |  | 58,697 |
Operating lease Right-of-Use-Assets | 84,716 |  |  | — |
Accruals and reserves | 7,780 |  |  | 4,450 |
Deferred revenue | — |  |  | 6,611 |
Undistributed earnings of foreign subsidiaries | 3,063 |  |  | 6,864 |
Other | 372 |  |  | 1,762 |
Total deferred tax liabilities | 141,846 |  |  | 78,384 |
Net deferred tax assets | $ | 495,149 |  |  | $ | 388,641 |
Tax Loss and Credit Carryforwards Available to Offset Future Income Tax Liabilities | The Company has the following tax loss and credit carryforwards available to offset future income tax liabilities:
Carryforward | Amount |  | Expiration Date
| (in thousands) |  |
Federal net operating loss carryforward | $ | 41,757 |  |  | 2021-2037
Federal research credit carryforward | 176,616 |  |  | 2021-2040
Federal foreign tax credit carryforward | 1,921 |  |  | 2021-2029
International foreign tax credit carryforward | 15,681 |  |  | Indefinite
International net operating loss carryforward | 81,069 |  |  | 2021-Indefinite
California research credit carryforward | 173,600 |  |  | Indefinite
Other state research credit carryforward | 15,486 |  |  | 2024-2035
State net operating loss carryforward | 70,251 |  |  | 2027-2039
Summary of Reconciliation of Beginning and Ending Balance of Gross Unrecognized Tax Benefit | A reconciliation of the beginning and ending balance of gross unrecognized tax benefits is summarized as follows:
| As of October 31, 2020 |  | As of October 31, 2019
| (in thousands)
Beginning balance | $ | 116,212 |  |  | $ | 131,019 |
Increases in unrecognized tax benefits related to prior year tax positions | 5,390 |  |  | 41,346 |
Decreases in unrecognized tax benefits related to prior year tax positions | (43,783 | ) |  | (71,092 | )
Increases in unrecognized tax benefits related to current year tax positions | 9,226 |  |  | 16,927 |
Decreases in unrecognized tax benefits related to settlements with taxing authorities | (1,411 | ) |  | (1,624 | )
Reductions in unrecognized tax benefits due to lapse of applicable statute of limitations | (2,472 | ) |  | (964 | )
Increases in unrecognized tax benefits acquired | 778 |  |  | — |
Changes in unrecognized tax benefits due to foreign currency translation | (791 | ) |  | 600 |
Ending balance | $ | 83,149 |  |  | $ | 116,212 |
Subsidiaries Remain Subject to Tax Examination | The Company and/or its subsidiaries remain subject to tax examination in the following jurisdictions:
Jurisdiction | Year(s) Subject to Examination
United States | Fiscal 2019 and 2020
California | Fiscal years after 2017
Hungary | Fiscal years after 2018
Ireland | Fiscal years after 2016
Japan and Taiwan | Fiscal years after 2015
Korea | Fiscal years after 2016

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