Income Taxes (Tables)

12 Months Ended

Oct. 02, 2021

Income Tax Disclosure [Abstract]

Schedule of Components of Income Tax Expense (Benefit)

The provision for (benefit from) income taxes on income (loss) before income taxes consists of the following (in thousands):

	Fiscal
	2021		2020		2019
Currently payable:
Federal	$	4,929	$	(1,660)	$	1,995
State	390		471		557
Foreign	33,713		1,176		13,448
	39,032		(13)		16,000
Deferred and other:
Federal	(47,908)		(2,343)		(407)
State	(4,872)		(1,605)		516
Foreign	4,961		(24,623)		(9,886)
	(47,819)		(28,571)		(9,777)
Provision for (benefit from) income taxes	$	(8,787)	$	(28,584)	$	6,223

Schedule of Income before Income Tax, Domestic and Foreign

The components of income before income taxes consist of (in thousands):

	Fiscal
	2021		2020		2019
United States	$	(207,827)	$	(98,900)	$	54,480
Foreign	92,289		(343,823)		5,568
Income (loss) before income taxes	$	(115,538)	$	(442,723)	$	60,048

Schedule of Effective Income Tax Rate Reconciliation

The reconciliation of the income tax expense (benefit) at the U.S. Federal statutory rate (21.0%) to actual income tax expense (benefit) is as follows (in thousands):

	Fiscal
	2021			2020			2019
Federal statutory tax expense (benefit)	$	(24,263)		$	(92,972)		$	12,610
Valuation allowance	14,925			15,231			7,925
Taxes on foreign earnings at rates greater (less) than U.S. rates, net	8,326			(27,041)			(8,210)
Stock-based compensation	4,351			3,640			556
State income taxes, net of federal income tax benefit	(4,215)			(1,249)			1,131
Research and development credit	(4,279)			(4,350)			(3,665)
Deferred compensation	(1,050)			(564)			(206)
Release of unrecognized tax benefits	(1,957)			(20,027)			(6,688)
Release of interest accrued for unrecognized tax benefits	(328)			(4,232)			(205)
Reversal of competent authority	—			8,552			—
Deferred taxes on foreign earnings	2,302			1,303			1,215
Write-off of withholding tax credits	—			—			1,134
Goodwill impairment	—			89,962			—
FDII deduction	(2,791)			—			536
Other, net	192			3,163			90
Provision for (benefit from) income taxes	$	(8,787)		$	(28,584)		$	6,223
Effective tax rate	7.6		%	6.5		%	10.4		%

Schedule of Deferred Tax Assets and Liabilities

The significant components of deferred tax assets and liabilities were (in thousands):

	Fiscal year-end
	2021		2020
Deferred tax assets:
Reserves and accruals not currently deductible	$	49,027	$	28,520
Operating loss carryforwards and tax credits	73,902		83,447
Deferred revenue	5,785		4,412
Depreciation and amortization	12,311		14,362
Inventory capitalization	3,509		—
Stock-based compensation	3,452		4,906
Competent authority offset to transfer pricing tax reserves	3,972		4,283
Accumulated translation adjustment	3,970		2,508
Retirement and pension	16,303		17,982
Lease liabilities	20,080		21,737
Acquisition costs	52,629		—
Other	—		165
Total gross deferred tax assets	244,940		182,322
Valuation allowance	(73,166)		(57,707)
Total net deferred tax assets	171,774		124,615
Deferred tax liabilities:
Deferred tax liabilities on foreign earnings	18,381		16,055
Inventory capitalization	—		1,394
Right of use assets	19,040		20,859
Other	24		—
Total gross deferred tax liabilities	37,445		38,308
Net deferred tax assets	$	134,329	$	86,307

Schedule of Deferred Tax Assets

The net deferred tax asset is classified on the consolidated balance sheets as follows (in thousands):

	Fiscal year-end
	2021		2020
Non-current deferred income tax assets	$	153,685	$	102,028
Non-current deferred income tax liabilities	(19,356)		(15,721)
Net deferred tax assets	$	134,329	$	86,307

Schedule of Unrecognized Tax Benefits Roll Forward

A reconciliation of the change in gross unrecognized tax benefits, excluding interest and penalties, is as follows (in thousands):

	Fiscal
	2021		2020		2019
Balance as of the beginning of the year	$	39,507	$	58,111	$	65,882
Tax positions related to current year:
Additions	1,017		1,410		605
Tax positions related to prior year:
Additions	1,440		86		448
Reductions	(6)		(17)		(6,071)
Lapses in statutes of limitations	(2,017)		(1,211)		(639)
Decrease in unrecognized tax benefits based on settlement	—		(19,463)		—
Foreign currency revaluation adjustment	(54)		591		(2,114)
Balance as of end of year	$	39,887	$	39,507	$	58,111

Summary of Income Tax Examinations

A summary of the fiscal tax years that remain subject to examination, as of October 2, 2021, for our major tax jurisdictions is:

United States—Federal	2018—forward
United States—Various States	2017—forward
Netherlands	2016—forward
Germany	2011—forward
Japan	2015—forward
South Korea	2016—forward
United Kingdom	2020—forward