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Income Taxes (Tables)

12 Months Ended

Dec. 31, 2021

Income Tax Disclosure [Abstract]

Schedule of pretax income and income tax provision (benefit) for continuing operations

The income tax provision was as follows for the years ended December 31:

(In millions)			2021						2020						2019
Components of income tax provision (benefit):
Current:
Federal			$	378					$	(25)					$	25
State			138						71						69
Foreign			109						79						57
			625						125						151
Deferred:
Federal			(186)						189						118
State			(106)						(34)						(18)
Foreign			30						(84)						(53)
			(262)						71						47
Income tax provision			$	363					$	196					$	198

Reconciliation of statutory federal income tax rate to effective income tax rate

A reconciliation of the statutory federal income tax rate to the Company’s effective income tax rate is as follows for the years ended December 31:

			2021						2020						2019
Statutory federal income tax rate			21.0		%				21.0		%				21.0		%
State income taxes, net of federal effect			1.6		%				2.0		%				3.7		%
Foreign tax law changes			8.0		%				2.8		%				—		%
Foreign derived intangibles income deduction			(3.1)		%				(3.2)		%				(0.2)		%
Excess tax benefit from share-based awards			(2.2)		%				(3.9)		%				(5.1)		%
Sale of businesses and subsidiary restructuring			(2.1)		%				0.7		%				(2.6)		%
Unrecognized tax benefits			(2.7)		%				(1.0)		%				(0.1)		%
Nondeductible executive compensation			0.7		%				2.0		%				1.0		%
Valuation allowance			(1.3)		%				(1.7)		%				0.3		%
Other, net			1.9		%				(2.0)		%				0.3		%
Effective income tax rate			21.8		%				16.7		%				18.3		%

Schedule of deferred tax assets and liabilities

Significant components of deferred tax assets and liabilities consisted of the following at December 31:

(In millions)			2021						2020
Accrued expenses			$	171					$	189
Share-based compensation			134						185
Net operating loss and credit carry-forwards			804						1,158
Leasing liabilities			194						171
Other			194						76
Subtotal			1,497						1,779
Valuation allowance			(697)						(888)
Total deferred tax assets			800						891
Capitalized software development costs			(633)						(614)
Intangible assets			(2,676)						(2,993)
Property and equipment			(280)						(198)
Capitalized commissions			(95)						(87)
Investments in joint ventures			(630)						(908)
Leasing right-of-use assets			(142)						(141)
Other			(474)						(311)
Total deferred tax liabilities			(4,930)						(5,252)
Total			$	(4,130)					$	(4,361)

Deferred tax assets and liabilities are reported in the consolidated balance sheets as follows at December 31:

(In millions)			2021						2020
Noncurrent assets			$	42					$	28
Noncurrent liabilities			(4,172)						(4,389)
Total			$	(4,130)					$	(4,361)

Schedule of operating loss carryforwards and general business credit carryforwards

The following table presents the amounts of federal, state and foreign net operating loss carryforwards and general business credit carryforwards at December 31:

(In millions)			2021						2020
Net operating loss carryforwards: (1)
Federal			$	178					$	443
State			3,763						3,944
Foreign			2,580						3,343
General business credit carryforwards (2)			12						41

(1)At December 31, 2021, the Company had federal net operating loss carryforwards of $178 million, most of which do not expire, state net operating loss carryforwards of $3.8 billion, most of which expire in 2022 through 2041, and foreign net operating loss carryforwards of $2.6 billion, of which $375 million expire in 2022 through 2041, and the remainder of which do not expire.

(2)At December 31, 2021, the Company had general business credit carryforwards of $12 million which expire in 2027.

Schedule of operating loss carryforwards and general business credit carryforwards

The following table presents the amounts of federal, state and foreign net operating loss carryforwards and general business credit carryforwards at December 31:

(In millions)			2021						2020
Net operating loss carryforwards: (1)
Federal			$	178					$	443
State			3,763						3,944
Foreign			2,580						3,343
General business credit carryforwards (2)			12						41

(1)At December 31, 2021, the Company had federal net operating loss carryforwards of $178 million, most of which do not expire, state net operating loss carryforwards of $3.8 billion, most of which expire in 2022 through 2041, and foreign net operating loss carryforwards of $2.6 billion, of which $375 million expire in 2022 through 2041, and the remainder of which do not expire.

(2)At December 31, 2021, the Company had general business credit carryforwards of $12 million which expire in 2027.

Schedule of unrecognized tax benefits

Unrecognized tax benefits were as follows at December 31:

(In millions)			2021						2020						2019
Unrecognized tax benefits - Beginning of year			$	171					$	145					$	49
Increases for assumed tax positions related to First Data			—						—						82
Increases for tax positions taken during the current year			16						9						8
Increases for tax positions taken in prior years			5						53						16
Decreases for tax positions taken in prior years			(41)						(23)						(2)
Decreases for settlements			(1)						(2)						(1)
Lapse of the statute of limitations			(26)						(11)						(7)
Unrecognized tax benefits - End of year			$	124					$	171					$	145

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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.

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