XML 61 R48.htm IDEA: XBRL DOCUMENT
v3.22.4

Income Taxes (Tables) | 12 Months Ended
--- | ---
Dec. 31, 2022
Income Tax Disclosure [Abstract] |
Constituents of Provision for Income Taxes | Income tax expense consisted of the following (in thousands):
| Year Ended December 31,
| 2022 |  | 2021 |  | 2020
Current: |
Federal | $ | 48,355 |  |  | $ | 27,870 |  |  | $ | 160 |
State | 5,689 |  |  | 5,372 |  |  | 921 |
Foreign | 10,243 |  |  | 8,406 |  |  | 13,197 |
| 64,287 |  |  | 41,648 |  |  | 14,278 |
Deferred: |  |  |  |  |
Federal | (40,772) |  |  | (19,266) |  |  | (18,266) |
State | (8,354) |  |  | (769) |  |  | (556) |
Foreign | 20,009 |  |  | 17,406 |  |  | 15,269 |
| (29,117) |  |  | (2,629) |  |  | (3,553) |
| $ | 35,170 |  |  | $ | 39,019 |  |  | $ | 10,725 |
Reconciliation of the United States Federal Statutory Corporate Tax Rate to the Company's Effective Tax Rate or Income Tax Provision | A reconciliation of the U.S. federal statutory corporate tax rate to the Company’s income tax expense, or effective tax rate, was as follows:
| Year Ended December 31,
| 2022 |  | 2021 |  | 2020
Income tax expense at U.S. federal statutory corporate tax rate | 21 | % |  | 21 | % |  | 21 | %
State income taxes, net of federal benefit | 2 |  |  | 1 |  |  | 1 |
Foreign tax rate differential | (7) |  |  | (5) |  |  | (6) |
Tax credit | (1) |  |  | (2) |  |  | (1) |
Discrete tax benefit related to employee stock options | — |  |  | (3) |  |  | (7) |
Discrete tax expense related to tax return filings | 2 |  |  | (1) |  |  | (5) |
Discrete tax benefit related to a rate revaluation on state tax assets | (2) |  |  | — |  |  | — |
Discrete tax benefit related to GILTI adjustments | (3) |  |  | — |  |  | — |
Discrete tax expense related to international tax reserves | 1 |  |  | — |  |  | 1 |
Discrete tax benefit for audit settlements | (1) |  |  | — |  |  | — |
Discrete tax benefit for release of valuation allowance | (1) |  |  | — |  |  | — |
Limitation on executive compensation | 1 |  |  | — |  |  | 1 |
Other | 2 |  |  | 1 |  |  | 1 |
Income tax expense | 14 | % |  | 12 | % |  | 6 | %
Changes in the Reserve for Income Taxes, Excluding Interest and Penalties | The changes in the reserve for income taxes, excluding gross interest and penalties, were as follows (in thousands):
Balance of reserve for income taxes as of December 31, 2020 | $ | 13,952 |
Gross amounts of decreases in unrecognized tax benefits as a result of tax positions taken in prior periods | (280) |
Gross amounts of increases in unrecognized tax benefits as a result of tax positions taken in prior periods | 100 |
Gross amounts of increases in unrecognized tax benefits as a result of tax positions taken in the current period | 525 |
Gross amounts of decreases in unrecognized tax benefits as a result of the expiration of the applicable statutes of limitations | (485) |
Balance of reserve for income taxes as of December 31, 2021 | 13,812 |
Gross amounts of decreases in unrecognized tax benefits as a result of tax positions taken in prior periods | (119) |
Gross amounts of increases in unrecognized tax benefits as a result of tax positions taken in prior periods | 2,850 |
Gross amounts of increases in unrecognized tax benefits as a result of tax positions taken in the current period | 505 |
Gross amounts of decreases in unrecognized tax benefits relating to settlements with taxing authorities | (2,329) |
Gross amounts of decreases in unrecognized tax benefits as a result of the expiration of the applicable statutes of limitations | (1,072) |
Balance of reserve for income taxes as of December 31, 2022 | $ | 13,647 |
Constituents of Deferred Tax Assets | The tax effects of temporary differences and attributes that give rise to deferred income tax assets and liabilities as of December 31, 2022 and December 31, 2021 were as follows (in thousands):
| December 31,
| 2022 |  | 2021
Deferred tax assets: |  |  |
Intangible asset in connection with change in tax structure | 386,221 |  |  | $ | 404,526 |
Stock-based compensation expense | 21,962 |  |  | 15,279 |
Federal and state tax credit carryforwards | 8,284 |  |  | 11,051 |
Inventory and revenue related | 8,117 |  |  | 7,426 |
Bonuses, commissions, and other compensation | 5,116 |  |  | 7,263 |
Depreciation | 2,119 |  |  | 5,395 |
Foreign net operating losses | 53 |  |  | 751 |
Capitalization of R&D expenses | 16,889 |  |  | — |
Other | 15,102 |  |  | 9,023 |
Total deferred tax assets | 463,863 |  |  | 460,714 |
Valuation allowance | (7,661) |  |  | (8,188) |
| $ | 456,202 |  |  | $ | 452,526 |
Deferred tax liabilities: |  |  |
GILTI tax basis differences in connection with change in tax structure | $ | (298,922) |  |  | $ | (327,725) |
Net deferred taxes | $ | 157,280 |  |  | $ | 124,801 |

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://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32639-109319 + Details
Name: | us-gaap_ScheduleOfComponentsOfIncomeTaxExpenseBenefitTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types: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://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32537-109319 + Details
Name: | us-gaap_ScheduleOfDeferredTaxAssetsAndLiabilitiesTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types: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://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 12 -URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32687-109319 + Details
Name: | us-gaap_ScheduleOfEffectiveIncomeTaxRateReconciliationTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- 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 https://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 https://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 https://asc.fasb.org/extlink&oid=121826272&loc=d3e32840-109319 + Details
Name: | us-gaap_SummaryOfIncomeTaxContingenciesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration