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Taxes (Tables) | 12 Months Ended
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Mar. 27, 2021
Income Tax Disclosure [Abstract] |
Income Before Provision for Income Taxes | Income (loss) before provision for income taxes consisted of the following (in millions):
| Fiscal Years Ended
| March 27, 2021 |  | March 28, 2020 |  | March 30, 2019
U.S. | $ | (56) |  |  | $ | (28) |  |  | $ | 191 |
Non-U.S. | 59 |  |  | (187) |  |  | 430 |
Total income (loss) before provision for income taxes | $ | 3 |  |  | $ | (215) |  |  | $ | 621 |
Provision for Income Taxes | The provision for income taxes was as follows (in millions):
| Fiscal Years Ended |
| March 27, 2021 |  | March 28, 2020 |  | March 30, 2019 |
Current |  |  |  |  |  |
U.S. Federal | $ | 35 |  |  | $ | 4 |  | (2) | $ | 82 |  | (1)
U.S. State | 20 |  |  | 19 |  |  | 24 |  |
Non-U.S. | 81 |  |  | 60 |  |  | 44 |  |
Total current | 136 |  |  | 83 |  |  | 150 |  |
Deferred |  |  |  |  |  |
U.S. Federal | (37) |  |  | (22) |  |  | (34) |  | (1)
U.S. State | (4) |  |  | (3) |  |  | (4) |  |
Non-U.S. | (29) |  |  | (48) |  |  | (33) |  |
Total deferred | (70) |  |  | (73) |  |  | (71) |  |
Total provision for income taxes | $ | 66 |  |  | $ | 10 |  |  | $ | 79 |  |
(1)Includes a $25 million current tax provision and deferred tax benefit related to the U.S. Tax Act impact to business interest disallowance provisions. (2)Includes a $35 million current tax benefit due to a release of income tax reserves in the U.S.
Significant Differences Between the Statutory Tax Rates and Company's Effective Tax Rate | The Company’s provision for income taxes for the years ended March 27, 2021, March 28, 2020 and March 30, 2019 was different from the amount computed by applying the statutory U.K. income tax rates to the underlying income (loss) from operations before income taxes as a result of the following (amounts in millions):
| Fiscal Years Ended |
| March 27, 2021 |  | March 28, 2020 |  | March 30, 2019 |
| Amount |  | % (1) |  | Amount |  | % (1) |  | Amount |  | % (1) |
Provision for income taxes at the U.K. statutory tax rate | $ | 1 |  |  | 19.0 | % |  | $ | (41) |  |  | 19.0 | % |  | $ | 118 |  |  | 19.0 | % |
Effects of global financing arrangements | (24) |  |  | (953.4) | % |  | (41) |  |  | 21.7 | % | (4) | (50) |  |  | (8.1) | % |
Effect of changes in valuation allowances on deferred tax assets | 24 |  |  | 955.7 | % |  | 67 |  |  | (30.9) | % | (5) | 11 |  |  | 2.8 | % | (3)
Non-deductible goodwill impairment | 18 |  |  | 700.2 | % | (6) | 32 |  |  | (15.1) | % | (6) | — |  |  | — | % |
Differences in tax effects on foreign income | 13 |  |  | 522.4 | % |  | (7) |  |  | 1.2 | % |  | (15) |  |  | (1.8) | % | (2)
Liability for uncertain tax positions | 11 |  |  | 414.2 | % |  | (12) |  |  | 5.7 | % |  | 8 |  |  | 1.3 | % |
Tax rate change impact on deferred items | 9 |  |  | 351.3 | % |  | — |  |  | — | % |  | — |  |  | — | % |
Share based compensation | 6 |  |  | 247.7 | % |  | 9 |  |  | (4.2) | % |  | (12) |  |  | (2.6) | % |
State and local income taxes, net of federal benefit | 5 |  |  | 201.5 | % |  | 4 |  |  | (1.9) | % |  | 6 |  |  | 0.9 | % |
Withholding tax | 4 |  |  | 165.0 | % |  | 3 |  |  | (1.6) | % |  | 3 |  |  | 0.6 | % |
Transaction cost | — |  |  | — | % |  | — |  |  | — | % |  | 9 |  |  | 1.5 | % |
Other | (1) |  |  | (33.1) | % | (7) | (4) |  |  | 1.4 | % |  | 1 |  |  | (0.9) | % |
| $ | 66 |  |  | 2,590.5 | % |  | $ | 10 |  |  | (4.7) | % |  | $ | 79 |  |  | 12.7 | % |
(1)Tax rates are calculated using unrounded numbers. (2)Mainly attributable to the United States statutory federal income tax rate change from a blended rate for Fiscal 2018 of 31.54% to 21% in Fiscal 2019. (3)Includes an $11 million provision related to a United Kingdom capital loss. (4)Mainly attributable to pre-tax loss position in Fiscal 2020. (5)Mainly attributable to valuation allowances established on a portion of non-U.S. deferred tax assets. (6)Attributable to goodwill impairment charges related to Jimmy Choo reporting units in Fiscal 2021 and Fiscal 2020. (7)Primarily relates to individually immaterial U.S. and foreign permanent adjustments.
Significant Components of Deferred Tax Assets (Liabilities) | Significant components of the Company’s deferred tax assets (liabilities) consist of the following (in millions):
| Fiscal Years Ended
| March 27, 2021 |  | March 28, 2020
Deferred tax assets |  |  |
Operating lease liabilities | 501 |  |  | 521 |
Net operating loss carryforwards | 139 |  |  | 109 |
Depreciation | 54 |  |  | 33 |
Sales allowances | 50 |  |  | 37 |
Accrued Interest | 44 |  |  | 40 |
Derivative Financial Instruments | 32 |  |  | — |
Inventories | 25 |  |  | 34 |
Stock compensation | 12 |  |  | 13 |
Payroll related accruals | 3 |  |  | 3 |
Other | 42 |  |  | — |
Total deferred tax assets | 902 |  |  | 790 |
Valuation allowance | (159) |  |  | (134) |
Net deferred tax assets | 743 |  |  | 656 |
Deferred tax liabilities |  |  |
Goodwill and intangibles | (495) |  |  | (481) |
Operating lease right-of-use-assets | (367) |  |  | (401) |
Other | — |  |  | (14) |
Total deferred tax liabilities | (862) |  |  | (896) |
Net deferred tax liabilities | $ | (119) |  |  | $ | (240) |
Reconciliation of Beginning and Ending Amounts of Unrecognized Tax Benefits Excluding Accrued Interest | A reconciliation of the beginning and ending amounts of unrecognized tax benefits, excluding accrued interest, for Fiscal 2021, Fiscal 2020 and Fiscal 2019, are presented below (in millions):
| Fiscal Years Ended |
| March 27, 2021 |  | March 28, 2020 |  | March 30, 2019 |
Unrecognized tax benefits beginning balance | $ | 99 |  |  | $ | 192 |  |  | $ | 101 |  |
Additions related to prior period tax positions | 12 |  |  | 29 |  |  | 81 |  | (1)
Additions related to current period tax positions | 9 |  |  | 4 |  |  | 21 |  |
Decreases in prior period positions due to lapses in statute of limitations | (4) |  |  | (3) |  |  | (1) |  |
Decreases related to prior period tax positions | (3) |  |  | (99) |  | (2) | (3) |  |
Decreases related to audit settlements | (6) |  |  | (24) |  | (3) | (7) |  |
Unrecognized tax benefits ending balance | $ | 107 |  |  | $ | 99 |  |  | $ | 192 |  |
(1)Primarily relates to the Versace acquisition. (2)Primarily relates to releases of North American and European tax reserves. (3)Primarily relates to the effective settlement of a U.S. audit.

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