Income Taxes (Tables)

12 Months Ended

Apr. 01, 2017

The provision for income taxes consists of the following:



(In thousands)	April 1, 2017			April 2, 2016		March 28, 2015
Federal:
Current	$	(19,097	)	$	21,366	$	61,308
Deferred	64,158			42,146		17,121
	45,061			63,512		78,429
State:
Current	(938		)	2,447		3,330
Deferred	3,093			1,781		1,803
	2,155			4,228		5,133
Foreign:
Current	21,121			18,016		9,433
Deferred	231			202		(1,135		)
	21,352			18,218		8,298
Total	$	68,568		$	85,958	$	91,860

Schedule of Income before Income Tax, Domestic and Foreign

The domestic and foreign components of income before income taxes were as follows:



(In thousands)	April 1, 2017		April 2, 2016		March 28, 2015
Domestic	$	41,031	$	37,568	$	110,881
Foreign	650,049		599,257		629,195
Income before income taxes	$	691,080	$	636,825	$	740,076

Schedule of Effective Income Tax Rate Reconciliation

The provision for income taxes reconciles to the amount derived by applying the federal statutory income tax rate to income before provision for taxes as follows:



(In thousands)	April 1, 2017			April 2, 2016			March 28, 2015
Income before provision for taxes	$	691,080		$	636,825		$	740,076
Federal statutory tax rate	35		%	35		%	35		%
Computed expected tax	241,878			222,889			259,027
State taxes, net of federal benefit	1,741			3,177			2,458
Foreign earnings at lower tax rates	(119,616		)	(112,942		)	(141,372		)
Tax credits	(34,146		)	(25,211		)	(26,633		)
Excess benefits from stock-based compensation	(15,396		)	—			—
Other	(5,893		)	(1,955		)	(1,620		)
Provision for income taxes	$	68,568		$	85,958		$	91,860

Schedule of Deferred Tax Assets and Liabilities

The major components of deferred tax assets and liabilities consisted of the following as of April 1, 2017 and April 2, 2016:



(In thousands)	2017			2016
Deferred tax assets:
Stock-based compensation	$	22,050		$	22,128
Deferred income on shipments to distributors	8,167			9,307
Accrued expenses	9,567			32,771
Tax credit carryforwards	109,681			95,424
Deferred compensation plan	32,518			27,412
Low income housing and other investments	8,163			8,265
Other	17,628			11,538
Subtotal	207,774			206,845
Valuation allowance	(72,520		)	(62,179		)
Total deferred tax assets	135,254			144,666
Deferred tax liabilities:
Unremitted foreign earnings	(383,312		)	(335,522		)
Convertible debt	(1,573		)	(2,349		)
Other	(4,002		)	(1,699		)
Total deferred tax liabilities	(388,887		)	(339,570		)
Total net deferred tax liabilities	$	(253,633	)	$	(194,904	)

Schedule of Changes to Unrecognized Income Tax Benefits

The aggregate changes in the balance of gross unrecognized tax benefits for fiscal 2017 and 2016 were as follows:



(In thousands)	2017			2016
Balance as of beginning of fiscal year	$	33,999		$	30,089
Increases in tax positions for prior years	—			786
Decreases in tax positions for prior years	(10,078		)	(606		)
Increases in tax positions for current year	6,556			4,757
Settlements	—			(85		)
Lapses in statutes of limitation	(40		)	(942		)
Balance as of end of fiscal year	$	30,437		$	33,999