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Income Taxes (Tables)
12 Months Ended
Dec. 31, 2020
Income Tax Disclosure [Abstract]  
Components of Income Before Tax
The components of income before provision for income taxes were as follows for the years ended December 31, 2020, 2019 and 2018 (in thousands):
 
202020192018
U.S.$45,074 $24,253 $(27,379)
Foreign571,008 508,228 370,468 
Income before provision for income taxes$616,082 $532,481 $343,089 
Schedule of Provision for Income Tax
The provision for income taxes consisted of the following for the years ended December 31, 2020, 2019 and 2018 (in thousands):
 
202020192018
Current tax (benefit) provision:
Federal$(1,765)$(22,704)$(29,982)
State5,346 3,835 8,085 
Foreign76,162 71,286 64,274 
Deferred tax (benefit) provision:
Federal(19,845)(13,987)5,954 
State(14,509)(12,212)701 
Foreign(6,023)4,968 (7,140)
Change in valuation allowance6,556 22,164 2,824 
Total$45,922 $53,350 $44,716 
Schedule of Difference Between Effective and Statutory
The Company’s effective tax rate differed from the U.S. federal statutory tax rate as follows for the years ended December 31, 2020, 2019 and 2018:
 
202020192018
U.S. federal income tax rate21.0 %21.0 %21.0 %
State taxes1.0 1.0 1.2 
Stock-based compensation(0.6)0.3 1.0 
U.S. federal, state and foreign research and development credits(4.4)(6.0)(7.6)
Foreign earnings(7.7)(6.1)(6.0)
Nondeductible (nontaxable) foreign items(0.4)0.7 0.4 
Impact of U.S. Tax Cuts and Jobs Act, net— — (0.8)
Release of uncertain tax position reserve(0.9)(5.9)(1.9)
Intercompany sale of intellectual property0.2 1.9 3.3 
Valuation allowance1.1 4.2 0.8 
Other(1.8)(1.1)1.6 
7.5 %10.0 %13.0 %
Net Deferred Tax and Valuation Allowance
The components of the net deferred tax assets and liabilities and the related valuation allowance as of December 31, 2020 and 2019 were as follows (in thousands):
 
20202019
Accrued bonus$25,480 $25,487 
Deferred revenue11,146 3,874 
Operating lease liability141,212 147,375 
Stock-based compensation23,629 20,606 
NOLs25,255 25,851 
Unrealized losses— 1,529 
Tax credit carryforwards110,254 87,305 
Convertible senior notes interest20,953 22,506 
Other11,531 12,501 
Deferred tax assets369,460 347,034 
Depreciation and amortization(6,974)(16,896)
Acquired intangible assets(59,128)(51,758)
Operating lease right-of-use asset(127,524)(132,949)
Deferred commissions(14,952)(14,843)
Internal-use software development costs capitalized(58,820)(57,201)
Deferred tax liabilities(267,398)(273,647)
Valuation allowance(32,602)(26,046)
Net deferred tax assets$69,460 $47,341 
Schedule of Operating Loss Carryforwards
The table below summarizes the Company's NOL and tax credit carryforwards in federal, state and foreign jurisdictions as of December 31, 2020 and 2019 (in thousands, except for years):

20202019Expirations at Various Dates Through:
NOL carryforwards:
Federal$59,200 $87,500 2037
State24,800 20,500 2040
Foreign40,800 11,600 
Federal and state research and development tax credit and other credit carryforwards132,800 88,570 2034
Unrecognized Tax Benefits
The following is a roll forward of the Company’s unrecognized tax benefits for the years ended December 31, 2020, 2019 and 2018 (in thousands):

202020192018
Balance at beginning of year$27,359 $64,892 $85,845 
Gross increases – tax positions of prior periods2,539 74 2,704 
Gross increases – current period tax positions1,946 2,006 3,021 
Gross decreases – tax positions of prior periods(3,540)(5,201)(15,287)
Gross decreases – lapse of applicable statute of limitations(4,199)(28,672)(6,186)
Gross decreases – settlements— (5,740)(5,205)
Balance at end of year$24,105 $27,359 $64,892