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Income Taxes (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Components of Income (Loss) Before Income Taxes

The components of income (loss) before income taxes for the years ended December 31, (in millions):

						2022						2021						2020
Domestic						$	(698)					$	(353)					$	(923)
Foreign						855						1,113						(78)
Total						$	157					$	760					$	(1,001)

Schedule of Provision for Income Taxes

The provision for income taxes consists of the following for the years ended December 31, (in millions):

			2022						2021						2020
Current:
Federal			$	(245)					$	48					$	(50)
State			6						17						1
Foreign			102						97						74
Total current			(137)						162						25
Deferred:
Federal			163						(26)						(136)
State			(34)						(20)						(32)
Foreign			(32)						22						(92)
Total deferred			97						(24)						(260)
Total income tax provision (benefit)			$	(40)					$	138					$	(235)

Reconciliation of U.S. Statutory Rate to Effective Income Tax Rate on Continuing Basis

A reconciliation of the U.S. statutory rate to the effective income tax rate on a continuing basis is as follows for the years ended December 31:

			2022						2021						2020
Statutory rate			21.0		%				21.0		%				21.0		%
Add (deduct) effect of:
State income taxes, net of federal income tax effect			(14.8)						(0.5)						2.5
U.S. foreign inclusions and foreign tax credit (1)			(43.5)						3.6						3.7
Foreign rate differential			(47.2)						(11.6)						2.7
Change in uncertain tax positions			16.7						0.1						4.5
Change in valuation allowance reserve			(13.8)						(3.8)						2.9
Impairments			20.7						—						(4.4)
Sale of businesses			(21.2)						—						—
Capital loss			—						(2.1)						3.0
Reversal of outside basis difference			1.6						0.4						(5.2)
Non-deductible compensation			1.9						0.4						(1.2)
Other taxes			4.5						1.3						(0.9)
U.S. income inclusions on asset transfers			50.3						11.1						(6.9)
Foreign exchange			2.0						—						—
Other			(3.7)						(1.7)						1.8
Effective rate			(25.5)		%				18.2		%				23.5		%

(1)The Company accounts for tax on global intangible low-taxed income (“GILTI”) as a period cost and the effects are included herein.

Schedule of Components of Net Deferred Tax Assets

Deferred tax assets (liabilities) consist of the following at December 31, (in millions):

			2022						2021
Deferred tax assets:
Accruals			$	153					$	156
Inventory			84						56
Pension and postretirement benefits			49						32
Net operating losses			295						330
Foreign tax credits			27						150
Capital loss carryforward			41						257
Operating lease liabilities			169						169
Other			180						158
Total gross deferred tax assets			998						1,308
Less valuation allowance			(148)						(186)
Net deferred tax assets after valuation allowance			850						1,122
Deferred tax liabilities:
Accelerated depreciation			(119)						(107)
Amortizable intangibles			(114)						(260)
Outside basis differences			(96)						(96)
Operating lease assets			(154)						(152)
U.S. foreign inclusion recapture			(6)						(62)
Other			(71)						(59)
Total gross deferred tax liabilities			(560)						(736)
Net deferred tax assets			$	290					$	386

The net deferred tax amounts have been classified in the balance sheet at December 31, (in millions):

						2022						2021
Noncurrent deferred tax assets						$	810					$	814
Noncurrent deferred tax liabilities						(520)						(428)
Total						$	290					$	386

Summary of Changes in Gross Unrecognized Tax Benefits

The following table summarizes the changes in gross unrecognized tax benefits periods indicated are as follows (in millions):

			2022						2021						2020
Unrecognized tax benefits, January 1,			$	457					$	452					$	474
Increases (decreases):
Increases in tax positions for prior years			1						1						4
Decreases in tax positions for prior years			(3)						(4)						—
Increase in tax positions for the current period			44						23						40
Settlements with taxing authorities			(13)						(2)						—
Lapse of statute of limitations			(10)						(12)						(66)
Cumulative translation adjustments			—						(1)						—
Unrecognized tax benefits, December 31,			$	476					$	457					$	452

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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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