XML 120 R34.htm IDEA: XBRL DOCUMENT
v2.4.1.9

Income Taxes (Tables) | 12 Months Ended
--- | ---
Dec. 31, 2014
Income Tax Disclosure [Abstract] |
Income Tax Data from Continuing Operations | For each of the years ended December 31, 2014, 2013, and 2012 the tax data related to continuing operations is as follows:
| 2014 |  |  | 2013 |  |  | 2012 |
Income components: |  |  |  |  |
United States | $ | 44.5 |  |  | $ | 28.5 |  |  | $ | 33.0 |
International | 217.5 |  |  | 152.0 |  |  | 116.1 |
Income from continuing operations before income tax | 262.0 |  |  | 180.5 |  |  | 149.1 |
Income tax expense (benefit) components: |  |  |  |  |
Current income tax expense (benefit): |  |  |  |  |
United States – federal | 16.2 |  |  | 10.6 |  |  | (32.6 | )
United States – state and local | 0.7 |  |  | 4.2 |  |  | (8.7 | )
International | 54.6 |  |  | 39.6 |  |  | 46.8 |
Total current income tax expense | 71.5 |  |  | 54.4 |  |  | 5.5 |
Deferred income tax expense (benefit) components: |  |  |  |  |
United States – federal | (0.6 | ) |  | (331.2 | ) |  | 40.1 |
United States – state and local | 5.1 |  |  | (36.7 | ) |  | 9.9 |
International | (4.7 | ) |  | 3.9 |  |  | (15.9 | )
Total deferred income tax (benefit) expense | (0.2 | ) |  | (364.0 | ) |  | 34.1 |
Income tax expense (benefit) | $ | 71.3 |  |  | $ | (309.6 | ) |  | $ | 39.6 |
Effective income tax rate | 27.2 | % |  | (171.5 | )% |  | 26.6 | %
Reconciliation of Tax Provision for Continuing Operations | A reconciliation of the income tax expense (benefit) for continuing operations from the U.S. statutory income tax rate to the effective income tax rate is as follows for each of the years ended December 31, 2014, 2013, and 2012:
| 2014 |  |  | 2013 |  |  | 2012 |
Tax provision at U.S. statutory rate | 35.0 | % |  | 35.0 | % |  | 35.0 | %
Tax exempt interest | (10.3 | )% |  | (17.5 | )% |  | (19.7 | )%
U.S. tax on foreign earnings | 9.3 | % |  | (0.7 | )% |  | 0.5 | %
Valuation allowance on deferred tax assets | 8.6 | % |  | (191.1 | )% |  | 27.7 | %
Tax on undistributed foreign earnings | (8.1 | )% |  | 6.1 | % |  | 1.3 | %
Foreign tax rate differential | (6.2 | )% |  | (4.8 | )% |  | (3.0 | )%
State and local income tax | 1.6 | % |  | 0.6 | % |  | 1.4 | %
Other adjustments | (1.3 | )% |  | (0.6 | )% |  | (3.9 | )%
Foreign Tax Holiday | (1.3 | )% |  | (1.0 | )% |  | — | %
U.S. permanent items | (1.0 | )% |  | (1.3 | )% |  | 0.5 | %
Audit settlements & unrecognized tax benefits | 0.9 | % |  | 3.8 | % |  | (13.2 | )%
Effective income tax rate | 27.2 | % |  | (171.5 | )% |  | 26.6 | %
Deferred Tax Assets and Liabilities | Deferred tax assets and liabilities include the following:
| 2014 |  |  | 2013 |
Deferred Tax Assets: |  |  |
Accruals | $ | 69.0 |  |  | $ | 64.5 |
Asbestos | 272.6 |  |  | 272.7 |
Employee benefits | 109.4 |  |  | 106.6 |
Credit carryforwards | 29.3 |  |  | 47.2 |
Loss carryforwards | 128.0 |  |  | 125.2 |
Other | 36.0 |  |  | 34.4 |
Gross deferred tax assets | 644.3 |  |  | 650.6 |
Less: Valuation allowance | 147.1 |  |  | 135.3 |
Net deferred tax assets | $ | 497.2 |  |  | $ | 515.3 |
Deferred Tax Liabilities: |  |  |
Undistributed earnings | $ | (61.2 | ) |  | $ | (82.3 | )
Intangibles | (58.7 | ) |  | (58.8 | )
Accelerated depreciation | (26.0 | ) |  | (25.8 | )
Investment | (0.4 | ) |  | (0.4 | )
Total deferred tax liabilities | $ | (146.3 | ) |  | $ | (167.3 | )
Net deferred tax assets | $ | 350.9 |  |  | $ | 348.0 |
Deferred Taxes in Consolidated Balance Sheets | Deferred taxes are presented in the Consolidated Balance Sheets as follows:
| 2014 |  |  | 2013 |
Current assets | $ | 56.2 |  |  | $ | 59.5 |
Non-current assets | 304.1 |  |  | 303.6 |
Current liabilities | — |  |  | — |
Other non-current liabilities | (9.4 | ) |  | (15.1 | )
Net deferred tax assets | $ | 350.9 |  |  | $ | 348.0 |
Deferred Tax Asset Valuation Allowance Rollforward [Table Text Block] |
| Federal |  |  | State |  |  | Foreign |  |  | Total |
DTA valuation allowance - December 31, 2011 | $ | 327.0 |  |  | $ | 127.5 |  |  | $ | 25.9 |  |  | $ | 480.4 |
Change in assessment | — |  |  | — |  |  | (6.5 | ) |  | (6.5 | )
Current year operations | 25.8 |  |  | (5.1 | ) |  | 42.1 |  |  | 62.8 |
DTA valuation allowance - December 31, 2012 | 352.8 |  |  | 122.4 |  |  | 61.5 |  |  | 536.7 |
Change in assessment | (339.6 | ) |  | (35.0 | ) |  | 3.7 |  |  | (370.9 | )
Current year operations | (13.2 | ) |  | (42.7 | ) |  | 25.4 |  |  | (30.5 | )
DTA valuation allowance - December 31, 2013 | — |  |  | 44.7 |  |  | 90.6 |  |  | 135.3 |
Change in assessment | — |  |  | — |  |  | 2.5 |  |  | 2.5 |
Current year operations | — |  |  | 0.3 |  |  | 9.0 |  |  | 9.3 |
DTA valuation allowance - December 31, 2014 | $ | — |  |  | $ | 45.0 |  |  | $ | 102.1 |  |  | $ | 147.1 |
Attributes Available for Utilization | We have the following tax attributes available for utilization at December 31, 2014:
Attribute | Amount |  |  | First Year of Expiration
U.S. federal net operating losses | $ | 1.9 |  |  | 12/31/2023
U.S. state net operating losses | $ | 1,355.6 |  |  | 12/31/2015
U.S. federal tax credits | $ | 23.4 |  |  | 12/31/2021
U.S. state tax credits | $ | 5.9 |  |  | 12/31/2027
Foreign net operating losses | $ | 297.0 |  |  | 12/31/2015
Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits for each of the years ended December 31, 2014, 2013, and 2012 is as follows:
| 2014 |  |  | 2013 |  |  | 2012 |
Unrecognized tax benefits – January 1 | $ | 161.2 |  |  | $ | 208.8 |  |  | $ | 198.7 |
Additions for: |  |  |  |  |
Prior year tax positions | 2.4 |  |  | 1.6 |  |  | 48.4 |
Current year tax positions | 2.8 |  |  | 8.0 |  |  | 0.8 |
Assumed in Acquisition | — |  |  | — |  |  | 3.8 |
Reductions for: |  |  |  |  |
Prior year tax positions | (2.8 | ) |  | (55.4 | ) |  | (4.8 | )
Settlements | (1.0 | ) |  | (1.0 | ) |  | (33.6 | )
Expiration of Statute of Limitations | (2.5 | ) |  | (0.8 | ) |  | (4.5 | )
Unrecognized tax benefits – December 31 | $ | 160.1 |  |  | $ | 161.2 |  |  | $ | 208.8 |
Open Tax Years by Major Jurisdiction | The following table summarizes the earliest open tax years by major jurisdiction as of December 31, 2014:
Jurisdiction | Earliest Open Year
China | 2009
Czech | 2013
Germany | 2006
Italy | 2005
Japan | 2010
Korea | 2006
Luxembourg | 2011
Mexico | 2009
United States | 2009

X
- Definition Attributes available for utilization. + References No definition available. + Details
Name: | itt_AttributesAvailableForUtilizationTableTextBlock
Namespace Prefix: | itt_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Deferred Tax Asset Valuation Allowance Rollforward [Table Text Block] + References No definition available. + Details
Name: | itt_DeferredTaxAssetValuationAllowanceRollforwardTableTextBlock
Namespace Prefix: | itt_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Deferred taxes in the consolidated balance sheets. + References No definition available. + Details
Name: | itt_DeferredTaxesInConsolidatedBalanceSheetsTableTextBlock
Namespace Prefix: | itt_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Income tax data from continuing operations. + References No definition available. + Details
Name: | itt_IncomeTaxDataFromContinuingOperationsTableTableTextBlock
Namespace Prefix: | itt_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Open tax years by major jurisdiction. + References No definition available. + Details
Name: | itt_OpenTaxYearsByMajorJurisdictionTableTextBlock
Namespace Prefix: | itt_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition A reconciliation of the beginning and ending amount of uncertain tax positions. + References No definition available. + Details
Name: | itt_ReconciliationOfBeginningAndEndingAmountOfUncertainTaxPositionsTableTextBlock
Namespace Prefix: | itt_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- 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 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=6907707&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=6907707&loc=d3e32687-109319 + Details
Name: | us-gaap_ScheduleOfEffectiveIncomeTaxRateReconciliationTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration