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6. Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

Income Tax Disclosure [Abstract]

U.S. and international components of income before taxes [Table Text Block]

The U.S. and international components of income before taxes are as follows (in millions):

		Year Ended December 31,
		2019				2018				2017
U.S.		$	1,034.0			$	363.4			$	72.8
International		1,227.1				149.3				25.0
Income before taxes		$	2,261.1			$	512.7			$	97.8

Provision for income taxes [Table Text Block]

The provision for income taxes consists of the following (in millions):

		Year Ended December 31,
		2019				2018				2017
Current tax expense:
U.S. Federal		$	13.0			$	8.8			$	6.7
State		4.4				2.2				3.4
International		23.5				30.5				32.0
Current tax expense		40.9				41.5				42.1
Deferred tax expense (benefit):
U.S. Federal		409.7				114.0				(69.8		)
State		24.4				6.6				4.3
International		16.1				0.3				(19.3		)
Deferred tax expense (benefit)		450.2				120.9				(84.8		)
Non-current tax expense (benefit)		11.3				(15.4		)		18.3
Provision for (benefit from) income taxes		$	502.4			$	147.0			$	(24.4	)

Reconcilation of effective tax rate on inocme before taxes and statutory rate [Table Text Block]

The reconciliation between our effective tax rate on income before taxes and the statutory tax rate is as follows:

		Year Ended December 31,
		2019			2018			2017
U. S. statutory tax rate		21.0	%		21.0	%		35.0	%
Impact of foreign operations		(9.7	)		(4.1	)		6.0
Research tax credits		(0.2	)		(0.7	)		(3.8	)
Nontaxable subsidies		(0.1	)		(0.2	)		(2.2	)
Goodwill impairment		—			5.6			1.2
Share-based compensation		(0.1	)		(1.0	)		(5.3	)
Nondeductible executive compensation		0.1			0.2			2.0
U.S. taxation of foreign income		10.3			15.5			2.7
Acquisition-related		—			(0.2	)		10.1
U.S. tax reform		—			(9.6	)		(71.0	)
State taxes		1.0			1.7			2.9
Other		(0.1	)		0.5			(2.6	)
Provision for (benefit from) income taxes		22.2	%		28.7	%		(25.0	)%

Significant components of deferred tax assets and liabilities [Table Text Block]

Deferred tax assets and liabilities reflect the tax effects of losses, credits, and temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes.  Significant components of deferred tax assets and liabilities are as follows (in millions):

		December 31,
		2019				2018
Deferred tax assets:
Bad debt, inventory and warranty accruals		$	23.9			$	21.7
Other post-employment benefits, vacation and other reserves		23.0				23.0
Tax credit and net operating loss carryforwards		83.7				75.3
Lease obligations		48.6				—
Other		26.0				27.1
Total gross deferred tax assets		205.2				147.1
Valuation allowance		(67.2		)		(70.8		)
Total deferred tax assets		138.0				76.3
Deferred tax liabilities:
Property and equipment		38.4				40.1
Lease assets		46.4				—
Investments and intangible assets		1,001.4				540.6
Total deferred tax liabilities		1,086.2				580.7
Net deferred tax liabilities		$	(948.2	)		$	(504.4	)

Tabular reconcilation of total amounts of unrecognized tax benefits [Table Text Block]

The following is a tabular reconciliation of the total amounts of unrecognized tax benefits (in millions):

		2019				2018				2017
Unrecognized tax benefits – January 1		$	29.8			$	54.9			$	21.1
Additions to tax positions related to prior years		7.6				0.6				1.3
Reductions to tax positions related to prior years		(0.7		)		(20.2		)		(1.0		)
Additions to tax positions related to the current year		3.0				4.6				34.8
Settlements		—				(6.8		)		(0.2		)
Lapse of statute of limitations		(0.4		)		(1.1		)		(3.4		)
Currency translation		(0.1		)		(2.2		)		2.3
Unrecognized tax benefits – December 31		$	39.2			$	29.8			$	54.9

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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.

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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.

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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.

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