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Income Taxes (Tables) | 12 Months Ended
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Dec. 31, 2023
Income Tax Disclosure [Abstract] |
Income Tax Data from Continuing Operations | The following table displays information regarding income tax expense (benefit) from continuing operations.
For the Year Ended December 31 | 2023 |  | 2022 |  | 2021
Income (loss) components: |  |  |  |  |
United States | $ | 164.6 |  |  | $ | 155.7 |  |  | $ | 199.4 |
International | 354.9 |  |  | 306.1 |  |  | 309.7 |
Income from continuing operations before income tax | 519.5 |  |  | 461.8 |  |  | 509.1 |
Income tax expense (benefit) components: |  |  |  |  |
Current income tax expense (benefit): |  |  |  |  |
United States – federal | 41.3 |  |  | 32.6 |  |  | 21.1 |
United States – state and local | 5.5 |  |  | 1.2 |  |  | 2.6 |
International | 85.6 |  |  | 54.4 |  |  | 50.2 |
Total current income tax expense | 132.4 |  |  | 88.2 |  |  | 73.9 |
Deferred income tax expense (benefit) components: |  |  |  |  |
United States – federal | (14.1) |  |  | (0.2) |  |  | 96.9 |
United States – state and local | (2.7) |  |  | 3.1 |  |  | 15.5 |
International | (10.8) |  |  | — |  |  | 3.3 |
Total deferred income tax expense (benefit) | (27.6) |  |  | 2.9 |  |  | 115.7 |
Income tax expense | $ | 104.8 |  |  | $ | 91.1 |  |  | $ | 189.6 |
Effective income tax rate | 20.2 | % |  | 19.7 | % |  | 37.2 | %
Reconciliation of Tax Provision for Continuing Operations | The following table includes a reconciliation of the U.S. statutory tax rate to our effective income tax rate related to income from continuing operations.
For the Year Ended December 31 | 2023 |  | 2022 |  | 2021
Tax provision at U.S. statutory rate | 21.0 | % |  | 21.0 | % |  | 21.0 | %
State and local income tax | 0.9 | % |  | 1.1 | % |  | 0.6 | %
U.S. tax on foreign earnings | 1.3 | % |  | 0.6 | % |  | 0.1 | %
Italy patent box | (1.1) | % |  | (1.2) | % |  | (1.3) | %
Foreign-Derived Intangible Income ("FDII") | (1.2) | % |  | (1.1) | % |  | (0.5) | %
Excess tax benefits on stock-based compensation | (0.2) | % |  | (0.5) | % |  | (0.6) | %
Audit settlements and unrecognized tax benefits | 2.7 | % |  | (0.2) | % |  | (1.0) | %
Valuation allowance on deferred tax assets | (3.1) | % |  | (0.2) | % |  | (0.4) | %
Tax on undistributed foreign earnings | 0.3 | % |  | (0.1) | % |  | 0.8 | %
Asbestos divestiture | — | % |  | — | % |  | 18.9 | %
Foreign tax rate differential | 1.6 | % |  | — | % |  | (0.2) | %
Amended tax return | (1.0) | % |  | — | % |  | — | %
Other adjustments | (1.0) | % |  | 0.3 | % |  | (0.2) | %
Effective income tax rate | 20.2 | % |  | 19.7 | % |  | 37.2 | %
Deferred Tax Assets and Liabilities | eferred tax assets and liabilities.
As of December 31 | 2023 |  | 2022
Deferred Tax Assets: |  |  |
Loss carryforwards | $ | 97.0 |  |  | $ | 119.1 |
Inventory | 24.1 |  |  | 20.5 |
Accruals | 27.1 |  |  | 26.0 |
Employee benefits | 39.0 |  |  | 34.1 |
Research and expenditures capitalization | 17.8 |  |  | 10.2 |
Credit carryforwards | 11.1 |  |  | 2.8 |
Other | 30.2 |  |  | 25.2 |
Gross deferred tax assets | 246.3 |  |  | 237.9 |
Less: Valuation allowance | 73.3 |  |  | 102.4 |
Net deferred tax assets | $ | 173.0 |  |  | $ | 135.5 |
Deferred Tax Liabilities: |  |  |
Intangibles | $ | (45.3) |  |  | $ | (42.2) |
Undistributed earnings | (46.2) |  |  | (34.8) |
Accelerated depreciation | (24.1) |  |  | (24.3) |
Total deferred tax liabilities | $ | (115.6) |  |  | $ | (101.3) |
Net deferred tax assets | $ | 57.4 |  |  | $ | 34.2 |
Deferred Taxes in Consolidated Balance Sheets | Deferred taxes included in our Consolidated Balance Sheets were as follows:
As of December 31 | 2023 |  | 2022
Other non-current assets | $ | 76.0 |  |  | $ | 54.7 |
Other non-current liabilities | (18.6) |  |  | (20.5) |
Net deferred tax assets | $ | 57.4 |  |  | $ | 34.2 |
Deferred Tax Asset Valuation Allowance Rollforward [Table Text Block] | The table below provides a rollforward of our valuation allowance on net deferred tax assets (DTA).
|  |  | State |  | Foreign |  | Total
DTA valuation allowance as of December 31, 2020 |  |  | $ | 40.4 |  |  | $ | 82.6 |  |  | $ | 123.0 |
Change in assessment |  |  | — |  |  | (1.9) |  |  | (1.9) |
Current year operations |  |  | (4.7) |  |  | (7.6) |  |  | (12.3) |
DTA valuation allowance as of December 31, 2021 |  |  | $ | 35.7 |  |  | $ | 73.1 |  |  | $ | 108.8 |
Change in assessment |  |  | — |  |  | (1.1) |  |  | (1.1) |
Current year operations |  |  | 3.8 |  |  | (9.1) |  |  | (5.3) |
DTA valuation allowance as of December 31, 2022 |  |  | $ | 39.5 |  |  | $ | 62.9 |  |  | $ | 102.4 |
Change in assessment |  |  | (23.1) |  |  | (16.4) |  |  | (39.5) |
Current year operations |  |  | (0.8) |  |  | 11.2 |  |  | 10.4 |
DTA valuation allowance as of December 31, 2023 |  |  | $ | 15.6 |  |  | $ | 57.7 |  |  | $ | 73.3 |
Attributes Available for Utilization | We have the following tax attributes available for utilization at December 31, 2023:
Attribute | Amount |  | First Year of Expiration
U.S. state net operating losses | $ | 312.6 |  |  | 12/31/2024
U.S. federal tax credits | 8.4 |  |  | 12/31/2029
U.S. state tax credits | 2.3 |  |  | 12/31/2027
Foreign net operating losses(a) | 305.7 |  |  | 12/31/2024
(a)Includes approximately $223.0 of net operating loss carryforwards in Luxembourg as of December 31, 2023.
Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits | The following table displays a rollforward of our unrecognized tax benefits.
For the Year Ended December 31 | 2023 |  | 2022 |  | 2021
Unrecognized tax benefits – January 1 | $ | 6.7 |  |  | $ | 7.6 |  |  | $ | 41.5 |
Additions for: |  |  |  |  |
Current year tax positions | 1.4 |  |  | 1.7 |  |  | 0.6 |
Prior year tax positions | 0.5 |  |  | 0.3 |  |  | 0.1 |
Reductions for: |  |  |  |  |
Prior year tax positions | (0.6) |  |  | (0.1) |  |  | (5.5) |
Expiration of statute of limitations | (2.3) |  |  | (2.8) |  |  | (19.7) |
Settlements | — |  |  | — |  |  | (9.4) |
Unrecognized tax benefits – December 31 | $ | 5.7 |  |  | $ | 6.7 |  |  | $ | 7.6 |
Open Tax Years by Major Jurisdiction | The following table summarizes the earliest open tax years by major jurisdiction as of December 31, 2023:
Jurisdiction | Earliest Open Year
China | 2018
Czechia | 2014
Germany | 2017
Hong Kong | 2020
India | 2013
Italy | 2016
Japan | 2022
Korea | 2023
Luxembourg | 2017
Mexico | 2016
United States | 2020

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