INCOME TAXES (Tables)

12 Months Ended

Jun. 30, 2023

Income Tax Disclosure [Abstract]

Schedule of Income before Income Taxes, Domestic and Foreign

The components of income before income taxes were as follows: 

	Year Ended June 30,
(In thousands)	2023		2022		2021
Domestic income before income taxes	$	2,017,338	$	1,909,699	$	1,251,820
Foreign income before income taxes	1,771,852		1,579,538		1,108,634
Total income before income taxes	$	3,789,190	$	3,489,237	$	2,360,454

Schedule of Components of Income Tax Expense (Benefit)

The provision for income taxes was comprised of the following:

(In thousands)	Year Ended June 30,
	2023		2022		2021
Current:
Federal	$	553,197	$	341,614	$	201,413
State	14,804		14,149		6,164
Foreign	188,991		165,194		121,146
	756,992		520,957		328,723
Deferred:
Federal	(228,414)		11,564		(31,989)
State	(4,295)		(311)		(1,155)
Foreign	(122,444)		(365,033)		(12,478)
	(355,153)		(353,780)		(45,622)
Provision for income taxes	$	401,839	$	167,177	$	283,101

Schedule of Deferred Tax Assets and Liabilities

The significant components of deferred income tax assets and liabilities were as follows:

(In thousands)	As of June 30,
	2023		2022
Deferred tax assets:
Tax credits and net operating losses	$	271,500	$	268,416
Capitalized R&D expenses	201,228		—
Inventory reserves	103,646		86,059
Employee benefits accrual	92,696		78,021
Depreciation and amortization	73,691		1,760
Non-deductible reserves	52,147		53,426
Unearned revenue	16,668		11,843
SBC	12,710		9,864
Other	35,360		56,911
Gross deferred tax assets	859,646		566,300
Valuation allowance	(259,172)		(244,429)
Net deferred tax assets	$	600,474	$	321,871
Deferred tax liabilities:
Unremitted earnings of foreign subsidiaries not indefinitely reinvested	$	(279,677)	$	(358,374)
Deferred profit	(23,149)		(30,268)
Unrealized gain on investments	(9,994)		(12,993)
Total deferred tax liabilities	(312,820)		(401,635)
Total net deferred tax liabilities	$	287,654	$	(79,764)

Schedule of Effective Income Tax Rate Reconciliation

The reconciliation of the U.S. federal statutory income tax rate to our effective income tax rate was as follows:

	Year ended June 30,
	2023		2022		2021
Federal statutory rate	21.0	%	21.0	%	21.0	%
GILTI	3.4	%	2.0	%	2.6	%
State income taxes, net of federal benefit	0.2	%	0.3	%	0.2	%
Effect of SBC	0.1	%	(0.2)	%	(0.3)	%
Net change in tax reserves	—	%	2.0	%	(1.1)	%
Tax rate change on deferred tax liability on purchased intangibles	—	%	—	%	1.7	%
Restructuring	—	%	(11.2)	%	—	%
R&D tax credit	(1.5)	%	(1.1)	%	(1.1)	%
Foreign derived intangible income	(5.7)	%	(4.0)	%	(4.3)	%
Effect of foreign operations taxed at various rates	(7.1)	%	(4.2)	%	(6.6)	%
Other	0.2	%	0.2	%	(0.1)	%
Effective income tax rate	10.6	%	4.8	%	12.0	%

Schedule of Income Tax Contingencies

A reconciliation of gross unrecognized tax benefits was as follows: 

	Year Ended June 30,
(In thousands)	2023		2022		2021
Unrecognized tax benefits at the beginning of the year	$	217,927	$	149,642	$	172,443
Increases for tax positions taken in current year	44,590		49,311		31,113
Increases for tax positions taken in prior years	434		20,917		6,557
Decreases for settlements with taxing authorities	(45,042)		—		(28,651)
Decreases for tax positions taken in prior years	(3,929)		(267)		(19,360)
Decreases for lapsing of statutes of limitations	(888)		(1,676)		(12,460)
Unrecognized tax benefits at the end of the year	$	213,092	$	217,927	$	149,642