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Income Tax (Tables) | 12 Months Ended
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May. 31, 2015
Income Tax Disclosure [Abstract] |
Schedule of Components of Income Tax Expense (Benefit) | The provision for income taxes for the years ended May 31, 2015, 2014 and 2013 consisted of the following:
| 2015 |  | 2014 |  | 2013
| (in thousands)
Current income tax expense: |  |  |  |  |
Federal | $ | 25,022 |  |  | $ | 49,178 |  |  | $ | 16,326 |
State | 3,905 |  |  | 3,856 |  |  | 987 |
Foreign | (10,346 | ) |  | 48,075 |  |  | 36,020 |
| 18,581 |  |  | 101,109 |  |  | 53,333 |
Deferred income tax expense: |  |  |  |  |
Federal | 14,822 |  |  | 1,568 |  |  | 26,302 |
State | 3,606 |  |  | 1,206 |  |  | 3,568 |
Foreign | 70,986 |  |  | 3,515 |  |  | 12,368 |
| 89,414 |  |  | 6,289 |  |  | 42,238 |
| $ | 107,995 |  |  | $ | 107,398 |  |  | $ | 95,571 |
Schedule of Income before Income Tax, Domestic and Foreign | The following presents income before income taxes for the years ended May 31, 2015, 2014 and 2013:
| 2015 |  | 2014 |  | 2013
| (in thousands)
United States | $ | 135,901 |  |  | $ | 153,453 |  |  | $ | 137,501 |
Foreign | 281,209 |  |  | 223,897 |  |  | 196,783 |
| $ | 417,110 |  |  | $ | 377,350 |  |  | $ | 334,284 |
Schedule of Effective Income Tax Rate Reconciliation | Our effective tax rates for the years ended May 31, 2015, 2014 and 2013, respectively, differ from the federal statutory rate as follows:
| 2015 |  | 2014 |  | 2013
Federal U.S. statutory rate | 35.0 | % |  | 35.0 | % |  | 35.0 | %
State income taxes, net of federal income tax benefit | 1.1 |  |  | 0.9 |  |  | 0.9 |
Foreign income taxes | (8.5 | ) |  | (7.2 | ) |  | (7.0 | )
Foreign interest income not subject to tax | (1.8 | ) |  | (2.1 | ) |  | (2.8 | )
Tax credits and other | 1.0 |  |  | 3.1 |  |  | 3.7 |
Effective tax rate attributable to Global Payments | 26.8 |  |  | 29.7 |  |  | 29.8 |
Effective tax rate allocated to noncontrolling interests | (0.9 | ) |  | (1.2 | ) |  | (1.2 | )
Effective tax rate | 25.9 | % |  | 28.5 | % |  | 28.6 | %
Schedule of Deferred Tax Assets and Liabilities | As of May 31, 2015 and 2014, principal components of deferred tax items were as follows:
| 2015 |  | 2014
| (in thousands)
Deferred income tax assets: |  |  |
Basis difference - U.K. business | $ | 24,520 |  |  | $ | 96,720 |
Foreign income tax credit carryforward | 14,172 |  |  | 11,819 |
Foreign net operating loss carryforward | 2,330 |  |  | 6,881 |
U.S. net operating loss carryforward | 6,927 |  |  | 22,074 |
Share-based compensation expense | 7,727 |  |  | 5,916 |
Other | 8,636 |  |  | 6,266 |
| 64,312 |  |  | 149,676 |
Less valuation allowance | (3,823 | ) |  | (7,199 | )
| 60,489 |  |  | 142,477 |
Deferred income tax liabilities: |  |  |
Acquired intangible assets | 147,239 |  |  | 149,440 |
Property and equipment | 63,957 |  |  | 53,238 |
Taxes on unremitted earnings and other | 4,992 |  |  | 5,470 |
Foreign currency translation | 14,659 |  |  | 26,813 |
Other | 2,069 |  |  | 1,800 |
| 232,916 |  |  | 236,761 |
Net deferred income tax liability | $ | (172,427 | ) |  | $ | (94,284 | )
The net deferred income tax liability is reflected on our consolidated balance sheets as of May 31, 2015 and 2014 as follows:
| 2015 |  | 2014
| (in thousands)
Noncurrent deferred income tax asset | 30,428 |  |  | 101,940 |
Noncurrent deferred income tax liability | (202,855 | ) |  | (196,224 | )
| $ | (172,427 | ) |  | $ | (94,284 | )
Summary of Valuation Allowance | Changes to our valuation allowance during the years ended May 31, 2015 and 2014 are summarized below (in thousands):
Balance at May 31, 2013 | $ | (28,464 | )
Utilization of foreign net operating loss carryforwards | 2,822 |
Allowance for foreign tax credit carryforward | 18,061 |
Other | 382 |
Balance at May 31, 2014 | (7,199 | )
Utilization of foreign net operating loss carryforwards | 3,387 |
Other | (11 | )
Balance at May 31, 2015 | $ | (3,823 | )
Schedule of Unrecognized Tax Benefits Roll Forward | A reconciliation of the beginning and ending amounts of unrecognized income tax benefits, excluding penalties and interest, for the years ended May 31, 2015, 2014, and 2013 is as follows:
| 2015 |  | 2014 |  | 2013
| (in thousands)
Balance at the beginning of the year | $ | 67,576 |  |  | $ | 53,763 |  |  | $ | 45,595 |
Additions based on income tax positions related to the current year | 6,311 |  |  | 8,551 |  |  | 8,778 |
Additions for income tax positions of prior years | 512 |  |  | 296 |  |  | 142 |
Foreign currency impact for income tax positions | (5,713 | ) |  | 5,303 |  |  | (601 | )
Reductions for income tax positions of prior years | (32 | ) |  | (60 | ) |  | (151 | )
Settlements with income tax authorities | (504 | ) |  | (277 | ) |  | — |
Changes in judgment regarding tax position | (65,591 | ) |  | — |  |  | — |
Balance at the end of the year | $ | 2,559 |  |  | $ | 67,576 |  |  | $ | 53,763 |

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