XML 74 R44.htm IDEA: XBRL DOCUMENT v3.20.4

INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2020

Income Tax Disclosure [Abstract]

Schedule of Income Before Provisions for Income Taxes

The Company's income before provision for income taxes was generated from United States and international operations as follows (in millions):

			Years Ended December 31,
			2020						2019						2018
United States			$	151.3					$	383.4					$	266.1
International, including Puerto Rico			765.4						783.1						495.3
			$	916.7					$	1,166.5					$	761.4

Schedule of Provision for Income Taxes

The provision for income taxes consists of the following (in millions):

			Years Ended December 31,
			2020						2019						2018
Current
United States:
Federal			$	23.4					$	31.3					$	10.9
State and local			48.2						48.7						13.6
International, including Puerto Rico			73.9						29.1						35.9
Current income tax expense			$	145.5					$	109.1					$	60.4
Deferred
United States:
Federal			$	11.0					$	28.3					$	(16.1)
State and local			(32.9)						(18.3)						(22.4)
International, including Puerto Rico			(30.3)						0.5						17.3
Deferred income tax (benefit) expense			(52.2)						10.5						(21.2)
Total income tax provision			$	93.3					$	119.6					$	39.2

Components of Deferred Tax Assets and Liabilities

The components of deferred tax assets and liabilities are as follows (in millions):

			December 31,
			2020						2019
Deferred tax assets
Compensation and benefits			$	88.6					$	90.1
Benefits from uncertain tax positions			27.0						22.5
Net tax credit carryforwards			125.5						108.4
Net operating loss carryforwards			64.1						57.6
Accrued liabilities			105.0						41.3
Inventories			16.3						12.9
Cash flow and net investment hedges			3.3						—
State income taxes			0.5						0.5
Investments			1.8						1.5
Lease liability obligations			7.7						18.4
Other			3.6						3.4
Total deferred tax assets			443.4						356.6
Deferred tax liabilities
Property, plant, and equipment			(53.4)						(22.6)
Cash flow and net investment hedges			—						(6.8)
Deferred tax on foreign earnings			(29.2)						(35.3)
Right-of-use assets			(7.0)						(17.5)
Other intangible assets			(76.3)						(71.0)
Other			(3.1)						(2.2)
Total deferred tax liabilities			(169.0)						(155.4)
Valuation allowance			(71.6)						(65.8)
Net deferred tax assets			$	202.8					$	135.4

Summary of Net Operating Loss Carryforwards

Net operating loss and capital loss carryforwards and the related carryforward periods at December 31, 2020 are summarized as follows (in millions):

			Carryforward Amount						Tax Benefit Amount						Valuation Allowance						Net Tax Benefit						Carryforward Period Ends
United States federal net operating losses			$	26.6					$	5.6					$	—					$	5.6					2030-2037
United States federal net operating losses			11.3						2.4						—						2.4						Indefinite
United States state net operating losses			33.5						2.1						(2.1)						—						2026-2039
United States state net operating losses			1.0						0.1						(0.1)						—						Indefinite
Non-United States net operating losses			18.2						4.7						(3.6)						1.1						2020-2027
Non-United States net operating losses			295.1						49.2						(39.9)						9.3						Indefinite
United States capital losses			34.1						0.2						(0.2)						—						2024
Total			$	419.8					$	64.3					$	(45.9)					$	18.4

Summary of Tax Credit Carryforwards

The gross tax credit carryforwards and the related carryforward periods at December 31, 2020 are summarized as follows (in millions):

			Carryforward Amount						Valuation Allowance						Net Tax Benefit						Carryforward Period Ends
California research expenditure tax credits			$	145.1					$	—					$	145.1					Indefinite
Federal research expenditure tax credits			1.5						—						1.5						2026-2039
Puerto Rico purchases credit			23.4						(23.4)						—						Indefinite
Total			$	170.0					$	(23.4)					$	146.6

Reconciliation of Federal Statutory Income Tax Rate to Effective Income Tax Rate

A reconciliation of the United States federal statutory income tax rate to the Company's effective income tax rate is as follows (in millions):

			Years Ended December 31,
			2020						2019						2018
Income tax expense at U.S. federal statutory rate			$	192.5					$	245.0					$	159.9
Foreign income taxed at different rates			(80.5)						(75.0)						(16.2)
State and local taxes, net of federal tax benefit			5.0						11.9						6.8
Tax credits, federal and state			(43.1)						(42.9)						(36.7)
Build (release) of reserve for prior years' uncertain tax positions			4.2						5.0						(35.5)
U.S. tax on foreign earnings, net of credits			1.5						(2.9)						(12.2)
Tax on global intangible low-taxed income			49.2						32.0						—
Foreign-derived intangible income deduction			(2.6)						(7.2)						(6.6)
U.S. federal deductible employee share-based compensation			(48.3)						(57.6)						(41.8)
Nondeductible employee share-based compensation			4.2						3.2						2.8
Impact related to 2017 U.S. Tax Reform			—						2.8						15.8
Other			11.2						5.3						2.9
Income tax provision			$	93.3					$	119.6					$	39.2

Reconciliation of Beginning and Ending Amount of Uncertain Tax Positions

A reconciliation of the beginning and ending amount of uncertain tax positions, excluding interest, penalties, and foreign exchange, is as follows (in millions):

			December 31,
			2020						2019						2018
Uncertain gross tax positions, January 1			$	203.1					$	150.7					$	225.6
Current year tax positions			86.4						55.4						37.8
Increase in prior year tax positions			6.0						0.8						13.9
Decrease in prior year tax positions			(10.0)						(3.8)						(78.8)
Settlements			(3.7)						—						(46.5)
Lapse of statutes of limitations			—						—						(1.3)
Uncertain gross tax positions, December 31			$	281.8					$	203.1					$	150.7

X

- References

No definition available.

+ Details

Name:	us-gaap_IncomeTaxDisclosureAbstract
Namespace Prefix:	us-gaap_
Data Type:	xbrli:stringItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the components of income tax expense attributable to continuing operations for each year presented including, but not limited to: current tax expense (benefit), deferred tax expense (benefit), investment tax credits, government grants, the benefits of operating loss carryforwards, tax expense that results from allocating certain tax benefits either directly to contributed capital or to reduce goodwill or other noncurrent intangible assets of an acquired entity, adjustments of a deferred tax liability or asset for enacted changes in tax laws or rates or a change in the tax status of the entity, and adjustments of the beginning-of-the-year balances of a valuation allowance because of a change in circumstances that causes a change in judgment about the realizability of the related deferred tax asset in future years.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 9
-URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32639-109319

+ Details

Name:	us-gaap_ScheduleOfComponentsOfIncomeTaxExpenseBenefitTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the components of net deferred tax asset or liability recognized in an entity's statement of financial position, including the following: the total of all deferred tax liabilities, the total of all deferred tax assets, the total valuation allowance recognized for deferred tax assets.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32537-109319

+ Details

Name:	us-gaap_ScheduleOfDeferredTaxAssetsAndLiabilitiesTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

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.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 12
-URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32687-109319

+ Details

Name:	us-gaap_ScheduleOfEffectiveIncomeTaxRateReconciliationTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of income before income tax between domestic and foreign jurisdictions.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(h)(1)(i))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

+ Details

Name:	us-gaap_ScheduleOfIncomeBeforeIncomeTaxDomesticAndForeignTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- 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 http://asc.fasb.org/extlink&oid=84230637&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 http://asc.fasb.org/extlink&oid=84230637&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 http://asc.fasb.org/extlink&oid=84230637&loc=d3e32840-109319

+ Details

Name:	us-gaap_SummaryOfIncomeTaxContingenciesTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of pertinent information, such as tax authority, amounts, and expiration dates, of net operating loss carryforwards, including an assessment of the likelihood of utilization.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32559-109319

+ Details

Name:	us-gaap_SummaryOfOperatingLossCarryforwardsTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of tax credit carryforwards available to reduce future taxable income, including amounts, expiration dates, limitations on use and the related deferred tax assets and valuation allowances.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32559-109319

+ Details

Name:	us-gaap_SummaryOfTaxCreditCarryforwardsTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration