Income Taxes (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Schedule of Components of Income before Income Taxes

Below is a summary of the components of the Company’s income before income taxes for the years ended December 31 (in thousands).

	2022		2021		2020
U.S.	$	560,193	$	485,472	$	111,880
Non-U.S.	467,002		484,398		214,253
Income before income taxes	$	1,027,195	$	969,870	$	326,133

Schedule of Components of Income Tax

The components of the expense (benefit) for income taxes on the above income are summarized in the table below (in thousands).

	2022		2021		2020
Current tax expense:
U.S. federal	$	122,191	$	117,024	$	14,480
State and local	48,482		36,266		16,360
Foreign	91,596		64,835		62,993
Total current	262,269		218,125		93,833
Deferred tax (benefit) expense:
U.S. federal	(21,337)		(4,640)		(7,206)
State and local	(10,108)		3,156		(13,121)
Foreign	(4,232)		(33,389)		(22,673)
Total deferred	(35,677)		(34,873)		(43,000)
Total current and deferred	226,592		183,252		50,833
(Expense) benefit relating to interest rate swaps used to increase equity	(5,569)		(7,281)		8,257
Benefit from stock transactions with employees used to increase equity	66		78		56
Benefit relating to defined-benefit pension adjustments used to increase equity	(1,693)		261		242
Total tax expense	$	219,396	$	176,310	$	59,388

Schedule of Deferred Tax Assets and Liabilities

The components of long-term deferred tax assets (liabilities) are summarized in the table below (in thousands).

	December 31,
	2022		2021
Accrued liabilities	$	72,610	$	90,384
Operating leases	63,289		60,226
Intangible assets	35,803		—
Loss and credit carryforwards	37,978		31,662
Assets relating to equity compensation	19,299		15,863
Other assets	16,638		12,195
Gross deferred tax assets	245,617		210,330
Valuation allowance	(152,808)		(23,331)
Net deferred tax assets	92,809		186,999
Property, equipment and leasehold improvements	(1,856)		(14,576)
Intangible assets	—		(123,523)
Prepaid expenses	(69,230)		(70,149)
Other liabilities	(22,936)		(20,536)
Gross deferred tax liabilities	(94,022)		(228,784)
Net deferred tax liabilities	$	(1,213)	$	(41,785)

Schedule of Effective Income Tax Rate Reconciliation

The items comprising the differences between the U.S. federal statutory income tax rate and the Company’s effective tax rate on income before income taxes for the years ended December 31 are summarized in the table below.

	2022		2021		2020
Statutory tax rate	21.0	%	21.0	%	21.0	%
State income taxes, net of federal benefit	2.4		2.8		1.7
Effect of non-U.S. operations	(2.0)		(3.4)		(1.8)
Intercompany sale of intellectual property	—		(5.6)		(8.7)
Net activity in recognized tax benefits	(1.1)		1.3		6.4
Law changes	—		1.3		1.8
Stock-based compensation expense	(2.0)		(2.0)		(2.8)
Limitation on executive compensation	1.4		1.7		1.3
Global intangible low-taxed income, net of foreign tax credits	1.9		1.7		1.4
Foreign-derived intangible income	(0.4)		(0.3)		(0.8)
Other items, net	0.2		(0.3)		(1.3)
Effective tax rate	21.4	%	18.2	%	18.2	%

Schedule of Reconciliation of Beginning and Ending Unrecognized Tax Benefits

The table below is a reconciliation of the beginning and ending amounts of gross unrecognized tax benefits, excluding interest and penalties, for the years ended December 31 (in thousands).

	2022		2021
Beginning balance	$	150,024	$	127,080
Additions based on tax positions related to the current year	10,989		29,636
Additions for tax positions of prior years	12,153		2,756
Reductions for tax positions of prior years	(485)		(4,592)
Reductions for expiration of statutes	(30,817)		(3,240)
Settlements	(2,177)		(147)
Change in foreign currency exchange rates	(2,460)		(1,469)
Ending balance	$	137,227	$	150,024