XML 55 R41.htm IDEA: XBRL DOCUMENT v3.10.0.1

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2018

Income Taxes

Income (loss) from operations before income taxes

The provision for income taxes is based on income (loss) before provision for income taxes as follows (in thousands):

		Year Ended December 31,
		2018			2017			2016
U.S.		$	478,050		$	36,493		$	272,574
Non-U.S.			(362,703)			(348,783)			(165,170)
Income (loss) before provision for income taxes		$	115,347		$	(312,290)		$	107,404

Schedule of provision (benefit) for income taxes

Our provision for income taxes consists of the following (in thousands):

		Year Ended December 31,
		2018			2017			2016
Current:
State		$	5,010		$	486		$	2,700
Foreign			1,303			1,171			482
			6,313			1,657			3,182
Deferred:
State			111			(805)			—
Foreign			(570)			—			—
			(459)			(805)			—
Total provision for income taxes		$	5,854		$	852		$	3,182

Schedule of reconciliation of income taxes at the U.S. federal statutory rate to the provision for income taxes

A reconciliation of income taxes at the U.S. federal statutory rate to the provision for income taxes is as follows (in thousands):

		Year Ended December 31,
		2018			2017			2016
Provision (benefit) at U.S. federal statutory rate1		$	24,223		$	(109,302)		$	37,591
Unbenefited net operating losses and tax credits			(51,861)			(99,254)			(47,410)
Excess tax benefits related to share-based compensation			(8,233)			(81,021)			(29,541)
Deferred tax impact of Tax Cuts and Jobs Act of 2017			—			196,751			—
Foreign tax rate differential			37,061			86,777			39,975
Non-deductible officer compensation			4,114			6,351			2,061
Other			550			550			506
Provision for income taxes		$	5,854		$	852		$	3,182

Schedule of significant components of deferred tax assets and liabilities

Significant components of our deferred tax assets and liabilities are as follows (in thousands):

		December 31,
		2018			2017
Deferred tax assets:
Net operating loss carry forwards		$	148,142		$	259,189
Federal and state research credits			402,798			333,311
Capitalized research and development			53,871			37,044
Deferred revenue and accruals			9,443			11,721
Non-cash compensation			58,194			44,647
Acquisition-related contingent consideration			43,676			41,831
Intangibles, net			93,730			94,249
Long term investments			23,621			12,244
Other			22,211			12,815
Total gross deferred tax assets			855,686			847,051
Less valuation allowance for deferred tax assets			(836,992)			(834,783)
Net deferred tax assets		$	18,694		$	12,268
Deferred tax liabilities:
Property and equipment		$	(17,424)		$	(11,463)
Total gross deferred tax liabilities			(17,424)			(11,463)
Net deferred income taxes		$	1,270		$	805

Schedule of operating loss and tax credit carryforwards

As of December 31, 2018, the Company has net operating loss (“NOL”) carryforwards, research and development credit carryforwards and orphan drug tax credit carryforwards as follows (in thousands):

		Amount			Expiring if not utilized
Net operating loss carryforwards
Federal		$	216,970		2034
State			343,022		2020 through 2037; indefinite
Foreign			757,312		2020 through 2025
Research and development credit carryforwards
Federal			197,400		2019 through 2038
State			25,247		2021 through 2032; indefinite
Orphan drug tax credit carryforwards			210,242		2029 through 2038

Unrecognized tax benefits

The following table summarizes the gross amounts of unrecognized tax benefits (in thousands):

		Year Ended December 31,
		2018			2017
Balance at beginning of year		$	18,022		$	10,798
Additions related to prior periods tax positions			2,098			2,571
Reductions related to prior periods tax positions			—			(821)
Additions related to current period tax positions			2,466			5,555
Reductions due to lapse of applicable statute of limitations			(130)			(81)
Currency translation adjustment			(61)			—
Balance at end of year		$	22,395		$	18,022

X

- Definition

Tabular disclosure of pertinent information, such as operating loss carryforwards and tax credit carryforward

+ References

No definition available.

+ Details

Name:	incy_ScheduleOfOperatingLossAndCarryforwardsAndTaxCreditCarryforwardsTextBlock
Namespace Prefix:	incy_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

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://www.xbrl.org/2003/role/presentationRef
-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://www.xbrl.org/2003/role/presentationRef
-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://www.xbrl.org/2003/role/presentationRef
-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://www.xbrl.org/2003/role/presentationRef
-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=26873400&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 of the change in unrecognized tax benefits.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 55
-Paragraph 217
-URI http://asc.fasb.org/extlink&oid=96868398&loc=d3e36027-109320

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-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

+ Details

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