Income Taxes (Tables)

12 Months Ended

Dec. 31, 2013

Income Tax Disclosure [Abstract]

Provision for Income Taxes

Our provision (benefit) for income taxes consists of (table in millions):

	2013			2012			2011
Federal:
Current	$	698		$	792		$	488
Deferred	(163		)	(80		)	14
	535			712			502
State:
Current	84			74			70
Deferred	(23		)	(12		)	(45		)
	61			62			25
Foreign:
Current	192			169			101
Deferred	(16		)	(25		)	12
	176			144			113
Total provision for income taxes	$	772		$	918		$	640

Reconciliation of Income Tax Provision to Statutory Federal Tax Rate

A reconciliation of our income tax provision to the statutory federal tax rate is as follows:

	2013		2012		2011
Statutory federal tax rate	35.0	%	35.0	%	35.0	%
State taxes, net of federal taxes	1.6	%	1.3	%	0.7	%
Resolution of uncertain tax positions	(0.9	)%	(0.5	)%	(1.7	)%
Tax rate differential for international jurisdictions and other international related tax items	(15.2	)%	(13.6	)%	(14.4	)%
U.S. tax credits	(3.8	)%	(0.2	)%	(2.8	)%
International reorganization of acquired companies	0.6	%	0.3	%	—	%
Permanent items	2.3	%	1.5	%	2.5	%
Other	0.4	%	0.3	%	0.4	%
	20.0	%	24.1	%	19.7	%

Components of Current and Noncurrent Deferred Tax Assets and Liabilities

The components of the current and non-current deferred tax assets and liabilities are as follows (table in millions):

	December 31, 2013						December 31, 2012
	Deferred Tax Asset			Deferred Tax Liability			Deferred Tax Asset			Deferred Tax Liability
Current:
Accounts and notes receivable	$	96		$	—		$	68		$	—
Inventory	73			—			64			—
Accrued expenses	311			—			281			—
Deferred revenue	365			—			281			—
Equity	83			—			98			—
Credit carryforwards	4			—			5			—
Net operating losses	28			—			29			—
Total current	960			—			826			—
Property, plant and equipment, net	—			(291		)	—			(286		)
Intangible and other assets, net	—			(680		)	—			(663		)
Equity	139			—			144			—
Deferred revenue	253			—			177			—
Other non-current liabilities	—			(13		)	—			(43		)
Credit carryforward	280			—			242			—
Net operating losses	78			—			98			—
Other comprehensive loss	109			—			120			—
Total non-current	859			(984		)	781			(992		)
Gross deferred tax assets and liabilities	1,819			(984		)	1,607			(992		)
Valuation allowance	(211		)	—			(183		)	—
Total deferred tax assets and liabilities	$	1,608		$	(984	)	$	1,424		$	(992	)

Rollforward of Gross Consolidated Liability for Unrecognized Income Tax Benefits

The following is a rollforward of our gross consolidated liability for unrecognized income tax benefits for the three years ended December 31 (table in millions):

	2013			2012			2011
Unrecognized tax benefits, beginning of year	$	270		$	197		$	230
Tax positions related to current year:
Additions	37			25			42
Reductions	—			(1		)	(2		)
Tax positions related to prior years:
Additions	10			64			14
Reductions	(33		)	(4		)	(71		)
Settlements	(5		)	—			(3		)
Lapses in statutes of limitations	(13		)	(11		)	(13		)
Unrecognized tax benefits, end of year	$	266		$	270		$	197