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Income Taxes (Tables) | 12 Months Ended
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Jan. 02, 2022
Income Tax Disclosure [Abstract] |
Schedule of Income (Loss) before Income Taxes by Region | Income (loss) before income taxes summarized by region was as follows:
In millions | 2021 |  | 2020 |  | 2019
United States | $ | (115) |  |  | $ | 313 |  |  | $ | 242 |
Foreign | 999 |  |  | 543 |  |  | 876 |
Total income before income taxes | $ | 884 |  |  | $ | 856 |  |  | $ | 1,118 |
Schedule of Provision for Income Taxes | The provision for income taxes consisted of the following:
In millions | 2021 |  | 2020 |  | 2019
Current: |  |  |  |  |
Federal | $ | 54 |  |  | $ | 25 |  |  | $ | 32 |
State | 37 |  |  | 13 |  |  | 7 |
Foreign | 107 |  |  | 45 |  |  | 84 |
Total current provision | $ | 198 |  |  | $ | 83 |  |  | $ | 123 |
Deferred: |  |  |  |  |
Federal | $ | (50) |  |  | $ | 30 |  |  | $ | 1 |
State | (23) |  |  | 94 |  |  | (1) |
Foreign | (3) |  |  | (7) |  |  | 5 |
Total deferred (benefit) expense | (76) |  |  | 117 |  |  | 5 |
Total tax provision | $ | 122 |  |  | $ | 200 |  |  | $ | 128 |
Schedule of Reconciliation of Provision for Income Taxes to Amount Computed by Applying the Federal Statutory Rate | The provision for income taxes reconciles to the amount computed by applying the federal statutory rate to income before taxes as follows:
In millions | 2021 |  | 2020 |  | 2019
Tax at federal statutory rate | $ | 186 |  |  | $ | 180 |  |  | $ | 235 |
State, net of federal benefit | 13 |  |  | 19 |  |  | 18 |
Research and other credits | (23) |  |  | (19) |  |  | (37) |
Change in valuation allowance | 33 |  |  | 69 |  |  | (2) |
Impact of foreign operations | (80) |  |  | (47) |  |  | (57) |
Impact of foreign derived intangible income (FDII) deduction | (12) |  |  | (11) |  |  | (4) |
Cost sharing adjustment | — |  |  | 28 |  |  | — |
Investments in consolidated variable interest entities | — |  |  | (2) |  |  | (5) |
Stock compensation | (10) |  |  | (18) |  |  | (20) |
Officer compensation | 13 |  |  | 7 |  |  | 5 |
Impact of acquisition related items | (16) |  |  | — |  |  | — |
Other | 18 |  |  | (6) |  |  | (5) |
Total tax provision | $ | 122 |  |  | $ | 200 |  |  | $ | 128 |
Schedule of Significant Components of Deferred Tax Assets and Liabilities | Significant components of deferred tax assets and liabilities were as follows:
In millions | January 2, 2022 |  | January 3, 2021
Deferred tax assets: |  |  |
Net operating losses | $ | 513 |  |  | $ | 26 |
Tax credits | 128 |  |  | 70 |
Other accruals and reserves | 39 |  |  | 21 |
Stock compensation | 23 |  |  | 17 |
Other amortization | 225 |  |  | 17 |
Operating lease liabilities | 173 |  |  | 156 |
Other | 36 |  |  | 53 |
Total gross deferred tax assets | 1,137 |  |  | 360 |
Valuation allowance on deferred tax assets | (134) |  |  | (81) |
Total deferred tax assets | $ | 1,003 |  |  | $ | 279 |
Deferred tax liabilities: |  |  |
Purchased intangible amortization | $ | (828) |  |  | $ | (27) |
Convertible debt | (11) |  |  | (20) |
Property and equipment | (21) |  |  | (34) |
Operating lease right-of-use assets | (129) |  |  | (108) |
Investments | (29) |  |  | (137) |
Other | (12) |  |  | (6) |
Total deferred tax liabilities | (1,030) |  |  | (332) |
Deferred tax liabilities, net | $ | (27) |  |  | $ | (53) |
Schedule of the Gross Amount of Uncertain Tax Positions | The following table summarizes the gross amount of our uncertain tax positions:
In millions | January 2, 2022 |  | January 3, 2021 |  | December 29, 2019
Balance at beginning of year | $ | 80 |  |  | $ | 79 |  |  | $ | 88 |
Increases related to prior year tax positions | 19 |  |  | 2 |  |  | 1 |
Decreases related to prior year tax positions | (1) |  |  | — |  |  | — |
Increases related to current year tax positions | 39 |  |  | 12 |  |  | 12 |
Decreases related to lapse of statute of limitations | (6) |  |  | (13) |  |  | (22) |
Balance at end of year | $ | 131 |  |  | $ | 80 |  |  | $ | 79 |

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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=121826272&loc=d3e32639-109319 + Details
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- 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=121826272&loc=d3e32687-109319 + 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=121826272&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=121826272&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=121826272&loc=d3e32840-109319 + Details
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