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Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2022
Income Tax Disclosure [Abstract]  
Components of Income Before Income Taxes The components of Income before income taxes are as follows for the years ended December 31:
  202220212020
United States$1,169 $1,256 $1,317 
International1,491 1,831 2,330 
Total Income before income taxes$2,660 $3,087 $3,647 
Provision for Income Taxes The Provision for income taxes consists of the following for the years ended December 31:
  202220212020
United States$199 $228 $259 
International494 521 528 
Total Provision for income taxes$693 $749 $787 
Schedule of Components of Deferred Income Tax Benefit Temporary differences between accounting for financial statement purposes and accounting for tax purposes result in the current provision for taxes being higher (lower) than the total provision for income taxes as follows:
  202220212020
Goodwill and intangible assets$106 $50 $1 
Property, plant and equipment2 (19)12 
Pension and other retiree benefits(1)(4)10 
Stock-based compensation(3)11 (7)
Right-of-use assets/lease liabilities(5)(2)(1)
Tax credits and tax loss carryforwards8 (2)(1)
Deferred withholding tax8 (16)111 
Research and Experimentation Capitalization58 — — 
Other, net(10)19 18 
Total deferred tax benefit (provision)$163 $37 $143 
Effective Tax Rate Reconciliation
The difference between the statutory U.S. federal income tax rate and the Company’s global effective tax rate as reflected in the Consolidated Statements of Income is as follows:
202220212020
Percentage of Income before income taxes
Tax at United States statutory rate21.0 %21.0 %21.0 %
State income taxes, net of federal benefit0.8 1.1 1.0 
Earnings taxed at other than United States statutory rate5.4 2.7 3.3 
Benefit for foreign tax matters(1)
— — (2.0)
Non-deductible goodwill impairment charges1.9 2.2 — 
Foreign-derived intangible income benefit(2.6)(2.2)(1.6)
Other, net(0.4)(0.5)(0.1)
Effective tax rate26.1 %24.3 %21.6 %
_________
(1)In 2020, the provision for income taxes includes $71 of income tax benefits recorded on a discrete period basis, of which $45 relates to previously recorded foreign withholding taxes and $26 relates to a previously recorded valuation allowance against a deferred tax asset. As part of a previously recorded charge for the Tax Cuts and Jobs Act of 2017 (the “TCJA”), the Company has provided for foreign withholding taxes expected to be paid on the remittance of earnings from certain overseas subsidiaries no longer deemed indefinitely reinvested. As a result of a recent reorganization of the ownership structure of certain foreign subsidiaries, the Company determined that no withholding taxes will be due on the remittance by certain subsidiaries of earnings previously deemed reinvested and, accordingly, reversed $45 of previously recorded foreign withholding taxes. Also as part of the previously recorded charge for the TCJA, the Company provided a valuation allowance against a deferred tax asset related to the foreign tax credit carryforwards that the Company did not expect to be able to use due to changes made by the TCJA. As a result of a new operating structure being implemented within one of the Company’s divisions, the Company believes the use of these foreign tax credit carryforwards will not be limited in the future and, accordingly, reversed the previously recorded valuation allowance of $26.
Components of Deferred Tax Assets (Liabilities) The components of deferred tax assets (liabilities) are as follows at December 31:
  20222021
Deferred tax liabilities: 
Goodwill and intangible assets$(405)$(523)
Property, plant and equipment(375)(301)
Right-of-use assets(118)(125)
Deferred withholding tax(103)(111)
Other(27)(35)
Total deferred tax liabilities(1,028)(1,095)
Deferred tax assets: 
Pension and other retiree benefits214 344 
Tax credits and tax loss carryforwards169 152 
Lease liabilities125 138 
Accrued liabilities218 234 
Stock-based compensation73 76 
Research and Experimentation Capitalization58 — 
Other52 69 
Total deferred tax assets909 1,013 
Valuation Allowance$(129)$(120)
Net deferred tax assets$780 $893 
Net deferred income taxes$(248)$(202)
Unrecognized Tax Benefits Activity Unrecognized tax benefits activity for the years ended December 31, 2022, 2021 and 2020 is summarized below:
  202220212020
Unrecognized tax benefits:   
Balance, January 1$245 $227 $173 
Increases as a result of tax positions taken during the current year32 26 18 
Decreases of tax positions taken during prior years(21)(20)(5)
Increases of tax positions taken during prior years46 40 57 
Decreases as a result of settlements with taxing authorities and the expiration of statutes of limitations
(2)(23)(19)
Effect of foreign currency rate movements
(2)(5)3 
Balance, December 31$298 $245 $227