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Income Taxes (Tables) | 12 Months Ended
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Dec. 31, 2022
Income Tax Disclosure [Abstract] |
Schedule of earnings before income taxes | Earnings before income taxes were as follows:
(in thousands) |  | For the Years Ended December 31,
|  | 2022 |  | 2021 |  | 2020
Domestic |  | $ | 684,661 |  |  | $ | 689,994 |  |  | $ | 483,694 |
International |  | 175,311 |  |  | 212,660 |  |  | 178,291 |
|  | $ | 859,972 |  |  | $ | 902,654 |  |  | $ | 661,985 |
Schedule of components of provision (benefit) for income taxes | The provision (benefit) for income taxes comprised the following:
(in thousands) |  | For the Years Ended December 31,
|  | 2022 |  | 2021 |  | 2020
Current |  |  |  |  |  |
Federal |  | $ | 150,099 |  |  | $ | 112,811 |  |  | $ | 72,921 |
State |  | 30,529 |  |  | 19,147 |  |  | 17,346 |
International |  | 35,138 |  |  | 29,288 |  |  | 26,301 |
|  | 215,766 |  |  | 161,246 |  |  | 116,568 |
Deferred |  |  |  |  |  |
Federal |  | (31,663) |  |  | (7,019) |  |  | (14,126) |
State |  | (5,735) |  |  | (503) |  |  | (2,863) |
International |  | 2,515 |  |  | 4,086 |  |  | (19,725) |
|  | (34,883) |  |  | (3,436) |  |  | (36,714) |
|  | $ | 180,883 |  |  | $ | 157,810 |  |  | $ | 79,854 |
Schedule of effective income tax rate reconciliation | The provision for income taxes differs from the amounts computed by applying the statutory federal income tax rate as follows:
|  | For the Years Ended December 31,
|  | 2022 |  | 2021 |  | 2020
U.S. federal statutory rate |  | 21.0 | % |  | 21.0 | % |  | 21.0 | %
State income tax, net of federal tax benefit |  | 2.3 |  |  | 2.1 |  |  | 2.4 |
Taxation on international earnings |  | 0.6 |  |  | (0.8) |  |  | (1.0) |
Foreign derived intangible income |  | (1.7) |  |  | (1.2) |  |  | (1.1) |
Share-based compensation from settlements |  | (1.5) |  |  | (3.6) |  |  | (5.9) |
Research and development credit |  | (1.1) |  |  | (0.7) |  |  | (0.8) |
Impact of Switzerland tax reform |  | — |  |  | — |  |  | (3.3) |
Other, net |  | 1.4 |  |  | 0.7 |  |  | 0.8 |
Effective tax rate |  | 21.0 | % |  | 17.5 | % |  | 12.1 | %
Schedule of components of net deferred tax assets and liabilities | The components of the net deferred tax assets (liabilities) included in the accompanying consolidated balance sheets are as follows:
(in thousands) |  | December 31, 2022 |  | December 31, 2021
Assets |  |  |  |
Accrued expenses |  | $ | 38,457 |  |  | $ | 48,433 |
Accounts receivable reserves |  | 2,447 |  |  | 2,131 |
Deferred revenue |  | 4,671 |  |  | 6,269 |
Inventory basis differences |  | 9,062 |  |  | 6,553 |
Property-based differences |  | 20,157 |  |  | 16,132 |
Intangible asset basis differences |  | 44,196 |  |  | 46,606 |
Share-based compensation |  | 11,324 |  |  | 10,740 |
Other |  | 1,273 |  |  | 1,163 |
Net operating loss carryforwards |  | 8,956 |  |  | 8,570 |
Tax credit carryforwards |  | 13,370 |  |  | 13,483 |
Unrealized losses on foreign currency exchange contracts and investments |  | 227 |  |  | 1,755 |
Research and development expenditure differences |  | 29,997 |  |  | — |
Total assets |  | 184,137 |  |  | 161,835 |
Valuation allowance |  | (39,726) |  |  | (39,280) |
Total assets, net of valuation allowance |  | 144,411 |  |  | 122,555 |
Liabilities |  |  |  |
Customer acquisition costs |  | (37,223) |  |  | (37,265) |
Property-based differences |  | (44,295) |  |  | (42,363) |
Intangible asset basis differences |  | (2,379) |  |  | (17,345) |
Other |  | (8,958) |  |  | (5,662) |
Unrealized gains on foreign currency exchange contracts and investments |  | (4,491) |  |  | (4,071) |
Total liabilities |  | (97,346) |  |  | (106,706) |
Net deferred tax assets |  | $ | 47,065 |  |  | $ | 15,849 |
Summary of valuation allowance | The following table summarizes the changes in valuation allowance for deferred tax assets:
(in thousands) |  | For the Years Ended December 31,
|  | 2022 |  | 2021 |  | 2020
Balance at beginning of year |  | $ | 39,280 |  |  | $ | 40,262 |  |  | $ | 9,454 |
Charges to costs and expense |  | 2,200 |  |  | 1,464 |  |  | 31,076 |
Write-off/cash payments |  | (1,537) |  |  | (1,182) |  |  | (34) |
Foreign currency translation |  | (217) |  |  | (1,264) |  |  | (234) |
Balance at the end of the year |  | $ | 39,726 |  |  | $ | 39,280 |  |  | $ | 40,262 |
Schedule of changes in unrecognized tax benefits | The following table summarizes the changes in unrecognized tax positions:
(in thousands) |  | For the Years Ended December 31,
|  | 2022 |  | 2021 |  | 2020
Total amounts of unrecognized tax benefits, beginning of period |  | $ | 21,789 |  |  | $ | 22,484 |  |  | $ | 26,841 |
Gross increases (decreases) in unrecognized tax positions as a result of tax positions taken during a prior period |  | 342 |  |  | 443 |  |  | (1,755) |
Gross increases in unrecognized tax positions as a result of tax positions taken in the current period |  | 3,197 |  |  | 2,414 |  |  | 4,199 |
Decreases in unrecognized tax positions related to settlements with taxing authorities |  | (1,544) |  |  | (537) |  |  | (6,446) |
Decreases in unrecognized tax positions as a result of a lapse of the applicable statutes of limitations |  | (1,237) |  |  | (3,015) |  |  | (355) |
Total amounts of unrecognized tax benefits, end of period |  | $ | 22,547 |  |  | $ | 21,789 |  |  | $ | 22,484 |

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- Definition Tabular disclosure for tax positions taken in the tax returns filed or to be filed for which it is more likely than not that the tax position will not be sustained upon examination by taxing authorities and other income tax contingencies. Includes, but is not limited to, interest and penalties, reconciliation of unrecognized tax benefits, unrecognized tax benefits that would affect the effective tax rate, tax years that remain subject to examination by tax jurisdictions, and information about positions for which it is reasonably possible that amounts unrecognized will significantly change within 12 months. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -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 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15 -Subparagraph (d) -URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32718-109319 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 19 -URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32840-109319 + Details
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