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Income Taxes (Tables) | 12 Months Ended
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Dec. 31, 2020
Income Tax Disclosure [Abstract] |
Reconciliation of Company's Effective Tax Rate to U.S. Federal Statutory Rate | A reconciliation of the Company’s effective tax rate to the U.S. federal statutory rate is as follows:
|  | Years Ended December 31, |
|  | 2020 |  |  | 2019 |  |  | 2018 |
U.S. federal income tax statutory rate |  |  | 21.0 | % |  |  | 21.0 | % |  |  | 21.0 | %
Federal tax credits |  |  | (1.5 | ) |  |  | (2.9 | ) |  |  | (0.7 | )
State income taxes, net of federal benefit |  |  | 1.1 |  |  |  | 2.3 |  |  |  | 1.3 |
Effect of foreign operations taxed at various rates |  |  | (5.0 | ) |  |  | (4.4 | ) |  |  | (1.3 | )
Executive compensation |  |  | 1.1 |  |  |  | 5.8 |  |  |  | — |
Gain on intercompany sale of assets |  |  | — |  |  |  | 2.9 |  |  |  | — |
Utilization of a capital loss |  |  | — |  |  |  | (1.2 | ) |  |  | — |
Foreign derived intangible income deduction |  |  | (1.5 | ) |  |  | (3.8 | ) |  |  | (2.1 | )
Global intangible low taxed income, net of foreign tax credits |  |  | 0.9 |  |  |  | 2.6 |  |  |  | 0.4 |
Transition tax, net of foreign tax credits |  |  | — |  |  |  | — |  |  |  | (0.1 | )
Revaluation of deferred income taxes |  |  | — |  |  |  | (1.4 | ) |  |  | (0.3 | )
Revaluation of prepaid taxes |  |  | — |  |  |  | — |  |  |  | 1.6 |
Stock-based compensation |  |  | (0.7 | ) |  |  | (0.3 | ) |  |  | (1.3 | )
Deferred tax asset valuation allowance |  |  | 0.6 |  |  |  | 0.1 |  |  |  | — |
Release of income tax reserves (including interest) |  |  | — |  |  |  | (0.8 | ) |  |  | (0.4 | )
Foreign dividends, net of foreign tax credits |  |  | 0.7 |  |  |  | 0.6 |  |  |  | (1.0 | )
Other |  |  | 0.5 |  |  |  | 0.6 |  |  |  | 1.2 |
|  |  | 17.2 | % |  |  | 21.1 | % |  |  | 18.3 | %
Components of Income from Operations Before Income Taxes and Related Provision for Income Taxes | The components of income from operations before income taxes and the related provision for income taxes consist of the following:
|  | Years Ended December 31, |
|  | 2020 |  |  | 2019 |  |  | 2018 |
Income before income taxes: |  |  |  |  |  |  |  |  |  |  |  |
United States |  | $ | 132.0 |  |  | $ | 2.3 |  |  | $ | 287.3 |
Foreign |  |  | 291.0 |  |  |  | 175.5 |  |  |  | 193.6 |
|  | $ | 423.0 |  |  | $ | 177.8 |  |  | $ | 480.9 |
Current taxes: |  |  |  |  |  |  |  |  |  |  |  |
United States |  | $ | 29.2 |  |  | $ | 6.8 |  |  | $ | 41.4 |
State |  |  | 6.1 |  |  |  | 2.0 |  |  |  | 8.1 |
Foreign |  |  | 44.7 |  |  |  | 32.8 |  |  |  | 58.0 |
|  |  | 80.0 |  |  |  | 41.6 |  |  |  | 107.5 |
Deferred taxes: |  |  |  |  |  |  |  |  |  |  |  |
United States |  |  | (7.9 | ) |  |  | (1.7 | ) |  |  | (2.5 | )
State and Foreign |  |  | 0.8 |  |  |  | (2.5 | ) |  |  | (16.9 | )
|  |  | (7.1 | ) |  |  | (4.2 | ) |  |  | (19.4 | )
Provision for income taxes |  | $ | 72.9 |  |  | $ | 37.4 |  |  | $ | 88.1 |
Significant Components of Deferred Tax Assets and Deferred Tax Liabilities | The significant components of the deferred tax assets and deferred tax liabilities are as follows:
|  | Years Ended December 31, |
|  | 2020 |  |  | 2019 |
Deferred tax assets: |  |  |  |  |  |  |  |
Carry-forward losses and credits |  | $ | 54.2 |  |  | $ | 59.2 |
Inventory and warranty reserves |  |  | 32.4 |  |  |  | 29.7 |
Accrued expenses and other reserves |  |  | 14.5 |  |  |  | 12.6 |
Stock-based compensation |  |  | 5.1 |  |  |  | 8.6 |
Executive supplemental retirement benefits |  |  | 1.8 |  |  |  | 1.6 |
Lease liability |  |  | 48.7 |  |  |  | 15.3 |
Unrealized net loss |  |  | 4.0 |  |  |  | 2.7 |
Other |  |  | 2.7 |  |  |  | 2.3 |
Total deferred tax assets |  | $ | 163.4 |  |  | $ | 132.0 |
Deferred tax liabilities: |  |  |  |  |  |  |  |
Acquired intangible assets and goodwill |  | $ | (116.2 | ) |  | $ | (128.1 | )
Depreciation and amortization |  |  | (14.5 | ) |  |  | (14.1 | )
Loan costs |  |  | (1.8 | ) |  |  | (2.3 | )
Right-of-use asset |  |  | (46.4 | ) |  |  | (14.4 | )
Foreign withholding taxes |  |  | (3.2 | ) |  |  | (5.0 | )
Total deferred tax liabilities |  |  | (182.1 | ) |  |  | (163.9 | )
Valuation allowance |  |  | (30.6 | ) |  |  | (27.4 | )
Net deferred tax liabilities |  | $ | (49.3 | ) |  | $ | (59.3 | )
Reconciliation of Beginning and Ending Amount of Gross Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of gross unrecognized tax benefits is as follows:
|  | Years Ended December 31, |
|  | 2020 |  |  | 2019 |  |  | 2018 |
Balance at beginning of year |  | $ | 43.5 |  |  | $ | 32.7 |  |  | $ | 27.3 |
Increases for prior years |  |  | 1.1 |  |  |  | 9.3 |  |  |  | 0.9 |
Increases for the current year |  |  | 6.8 |  |  |  | 3.2 |  |  |  | 6.1 |
Reductions related to expiration of statutes of limitations and audit settlements |  |  | (4.4 | ) |  |  | (1.7 | ) |  |  | (1.6 | )
Balance at end of year |  | $ | 47.0 |  |  | $ | 43.5 |  |  | $ | 32.7 |

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- 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://fasb.org/us-gaap/role/ref/legacyRef -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
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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=84230637&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=84230637&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=84230637&loc=d3e32840-109319 + Details
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