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Income Taxes (Tables) | 12 Months Ended
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Nov. 30, 2021
Income Tax Disclosure [Abstract] |
Schedule of Benefit (Provision) for Income Taxes | The provision for income taxes consisted of the following:
| Years Ended November 30,
(In thousands) | 2021 |  | 2020 |  | 2019
Current: |  |  |  |  |
Federal | $ | 924,474 |  |  | 428,907 |  |  | 298,701 |
State | 245,941 |  |  | 135,246 |  |  | 53,400 |
| $ | 1,170,415 |  |  | 564,153 |  |  | 352,101 |
Deferred: |  |  |  |  |
Federal | $ | 149,349 |  |  | 59,065 |  |  | 165,080 |
State | 42,745 |  |  | 33,017 |  |  | 74,992 |
| 192,094 |  |  | 92,082 |  |  | 240,072 |
| $ | 1,362,509 |  |  | 656,235 |  |  | 592,173 |
Reconciliation Of Statutory Rate And Effective Tax Rate | A reconciliation of the statutory rate and the effective tax rate was as follows:
| Percentage of Pretax Income
| 2021 |  | 2020 |  | 2019
Statutory rate | 21.00 | % |  | 21.00 | % |  | 21.00 | %
State income taxes, net of federal income tax benefit | 4.03 |  |  | 4.00 |  |  | 4.17 |
Tax credits (1) | (1.73) |  |  | (4.46) |  |  | (1.49) |
Nondeductible compensation | 0.49 |  |  | 0.57 |  |  | 0.45 |
Tax reserves and interest expense, net | 0.03 |  |  | — |  |  | (0.03) |
Deferred tax asset valuation allowance, net | (0.01) |  |  | — |  |  | (0.02) |
Other | (0.29) |  |  | (0.09) |  |  | 0.18 |
Effective rate | 23.52 | % |  | 21.02 | % |  | 24.26 | %
(1)During fiscal year 2020, Congress extended the new energy efficient home tax credit for homes delivered from 2018 to 2021, with retroactive effect for 2018 and 2019.
Schedule of Deferred Income Taxes Assets And Liabilities | The tax effects of significant temporary differences that give rise to the net deferred tax assets were as follows:
| November 30,
(In thousands) | 2021 |  | 2020
Deferred tax assets: |  |  |
Inventory valuation adjustments | $ | 94,624 |  |  | 136,868 |
Reserves and accruals | 187,466 |  |  | 161,984 |
Net operating loss carryforwards | 74,902 |  |  | 88,021 |
Capitalized expenses | 174,405 |  |  | 130,910 |
Investments in unconsolidated entities | 48,913 |  |  | 67,405 |
Employee stock incentive plan | 37,813 |  |  | 25,060 |
Other assets | 49,828 |  |  | 51,655 |
Total deferred tax assets | 667,951 |  |  | 661,903 |
Valuation allowance | (2,693) |  |  | (4,411) |
Total deferred tax assets after valuation allowance | 665,258 |  |  | 657,492 |
Deferred tax liabilities: |  |  |
Capitalized expenses | 187,332 |  |  | 181,729 |
Deferred income | 272,827 |  |  | 240,903 |
Unrealized gains on investments in equity securities | 164,534 |  |  | — |
Other liabilities | 44,810 |  |  | 47,478 |
Total deferred tax liabilities | 669,503 |  |  | 470,110 |
Net deferred tax assets (liabilities) | $ | (4,245) |  |  | 187,382 |
The detail of the Company's net deferred tax assets (liabilities) was as follows:
| November 30,
(In thousands) | 2021 |  | 2020
Net deferred tax assets (liabilities): (1) |  |  |
Homebuilding | $ | 84,198 |  |  | 119,467 |
Financial Services | (1,431) |  |  | 1,024 |
Multifamily | 64,247 |  |  | 38,155 |
Lennar Other | (151,259) |  |  | 28,736 |
Net deferred tax assets (liabilities) | $ | (4,245) |  |  | 187,382 |
(1)Net deferred tax assets and net deferred tax liabilities detailed above are included within other assets and other liabilities in the respective segments.
| November 30,
(In thousands) | 2021 |  | 2020
Valuation allowance (1) | $ | (2,693) |  |  | (4,411) |
Federal tax effected NOL carryforwards (2) | 32,968 |  |  | 36,264 |
State tax effected NOL carryforwards (3) | 41,935 |  |  | 51,757 |
(1)As of November 30, 2021 and 2020, the deferred tax assets included valuation allowances primarily related to state net operating loss ("NOL") carryforwards that are not more likely than not to be utilized due to an inability to carry back these losses in most states and short carryforward periods that exist in certain states. (2)At November 30, 2021 and 2020, the Company had federal tax effected NOL carryforwards that may be carried forward to offset future taxable income and begin to expire in 2029. (3)At November 30, 2021 and 2020, the Company had state tax effected NOL carryforwards that may be carried forward from 10 to 20 years or indefinitely, depending on the tax jurisdiction, with certain losses expiring between 2022 and 2039.
Summary Of Changes In Gross Unrecognized Tax Benefits | The following table summarizes the changes in gross unrecognized tax benefits:
| Years Ended November 30,
(In thousands) | 2021 |  | 2020 |  | 2019
Gross unrecognized tax benefits, beginning of year | $ | 12,285 |  |  | 12,856 |  |  | 14,667 |
Lapse of statute of limitations | — |  |  | (349) |  |  | (1,811) |
Decreases due to settlements with tax authorities | — |  |  | (222) |  |  | — |
Gross unrecognized tax benefits, end of year | $ | 12,285 |  |  | 12,285 |  |  | 12,856 |
The following summarizes the changes in interest and penalties accrued with respect to gross unrecognized tax benefits:
| November 30,
(In thousands) | 2021 |  | 2020
Accrued interest and penalties, beginning of the year | $ | 57,764 |  |  | 55,333 |
Accrual of interest and penalties (primarily related to state audits) | 2,173 |  |  | 2,802 |
Reduction of interest and penalties | — |  |  | (371) |
Accrued interest and penalties, end of the year | $ | 59,937 |  |  | 57,764 |

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- 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
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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 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
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