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Income Taxes
 9 Months Ended
Jun. 30, 2022
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
For the three and nine months ended June 30, 2022, the Company recorded an income tax expense of $39 million and $148 million. The income tax expense for the three and nine months ended June 30, 2022 is higher than the expected tax expense at the statutory rate of 21% primarily due to U.S. state and local taxes, withholding taxes, foreign income taxed at rates higher than the U.S., and non-deductible executive compensation under IRC Section 162(m), offset by a deduction against foreign derived intangible income (“FDII”).
For the three and nine months ended June 30, 2021, the Company recorded an income tax expense of $41 million and $127 million, respectively. The income tax expense for the three months ended June 30, 2021 is higher than the expected tax benefit at the statutory tax rate of 21% primarily due to income tax arising from an increase in our net U.K. deferred tax liability due to the change in the U.K. future statutory tax rate, U.S. state and local taxes, foreign income taxes at rates higher than the U.S., and non-deductible executive compensation under IRC Section 162(m), offset by FDII. The income tax expense for the nine months ended June 30, 2021 is higher than the expected tax expense at the statutory tax rate of 21% primarily due to income tax arising from an increase in our net U.K. deferred tax liability due to the change in the U.K. future statutory tax rate, U.S. state and local taxes, foreign income taxes at rates higher than the U.S., and non-deductible executive compensation under IRC Section 162(m), offset by FDII and excess tax benefits from the Plan.
The Company has determined that it is reasonably possible that the gross unrecognized tax benefits as of June 30, 2022 could decrease by up to approximately $2 million related to various ongoing audits and settlement discussions in various foreign jurisdictions during the next twelve months.