Income Taxes (Tables)

12 Months Ended

Dec. 31, 2023

Income Tax Disclosure [Abstract]

Schedule of pretax income and income tax provision (benefit) for continuing operations

The income tax provision was as follows:

	Year Ended December 31,
(In millions)	2023		2022		2021
Components of income tax provision (benefit):
Current:
Federal	$	913	$	802	$	378
State	148		175		138
Foreign	204		132		109
	1,265		1,109		625
Deferred:
Federal	(380)		(339)		(186)
State	(12)		(84)		(106)
Foreign	(119)		(135)		30
	(511)		(558)		(262)
Income tax provision	$	754	$	551	$	363

Reconciliation of statutory federal income tax rate to effective income tax rate

A reconciliation of the statutory federal income tax rate to the Company’s effective income tax rate is as follows:

	Year Ended December 31,
	2023		2022		2021
Statutory federal income tax rate	21.0	%	21.0	%	21.0	%
State income taxes, net of federal effect	2.8	%	2.5	%	1.6	%
Foreign tax law changes (1)	—	%	—	%	8.0	%
Foreign derived intangibles income deduction	(0.4)	%	(0.9)	%	(3.1)	%
Excess tax benefit from share-based awards	(0.8)	%	(0.8)	%	(2.2)	%
Sale of businesses and subsidiary restructuring	(1.3)	%	(2.2)	%	(2.1)	%
Unrecognized tax benefits	(0.2)	%	(0.5)	%	(2.7)	%
Nondeductible executive compensation	0.2	%	0.4	%	0.7	%
Transferable federal tax credits (2)	(1.4)	%	—	%	—	%
Valuation allowance	(0.6)	%	(0.5)	%	(1.3)	%
Other, net	—	%	(0.1)	%	1.9	%
Effective income tax rate	19.3	%	18.9	%	21.8	%

(1)     Foreign tax law changes during the year ended December 31, 2021 included $134 million of income tax expense attributed to the revaluation of certain net deferred tax liabilities in connection with enacted corporate income tax rate changes in foreign countries. In 2021, the enacted tax rate in the United Kingdom increased from 19% to 25% starting in 2023, and the tax rate in Argentina increased from 25% to 35%.

(2)     Pursuant to provisions under the Inflation Reduction Act, the Company purchased transferable federal tax credits during 2023 from various counterparties. Such federal tax credits were purchased at negotiated discounts, resulting in an income tax benefit recorded during the year ended December 31, 2023. Receivables associated with transferable federal tax credits are recorded within prepaid expenses and other current assets, and amounts owed to counterparties for the purchased credits are recorded within accounts payable and accrued expenses within the consolidated balance sheet at December 31, 2023.

Schedule of deferred tax assets and liabilities

Significant components of deferred tax assets and liabilities consisted of the following:

	December 31,
(In millions)	2023		2022
Accrued expenses	$	193	$	170
Share-based compensation	122		116
Net operating loss and credit carry-forwards	642		805
Leasing liabilities	183		170
Other	252		163
Subtotal	1,392		1,424
Valuation allowance	(467)		(620)
Total deferred tax assets	925		804
Capitalized software development costs	(331)		(481)
Intangible assets	(2,047)		(2,319)
Property and equipment	(341)		(308)
Capitalized commissions	(112)		(106)
Investments in joint ventures	(562)		(597)
Leasing right-of-use assets	(144)		(134)
Other	(386)		(405)
Total deferred tax liabilities	(3,923)		(4,350)
Total	$	(2,998)	$	(3,546)

Deferred tax assets and liabilities are reported in the consolidated balance sheets as follows:

	December 31,
(In millions)	2023		2022
Noncurrent assets	$	80	$	56
Noncurrent liabilities	(3,078)		(3,602)
Total	$	(2,998)	$	(3,546)

Schedule of operating loss carryforwards and general business credit carryforwards

The following table presents the amounts of federal, state and foreign net operating loss carryforwards and foreign tax credit carryforwards:

	December 31,
(In millions)	2023		2022
Net operating loss carryforwards: (1)
Federal	$	86	$	214
State	3,074		2,810
Foreign	1,880		2,373
Foreign tax credit carryforwards	16		17

(1)At December 31, 2023, the Company had federal net operating loss carryforwards of $86 million, most of which do not expire, state net operating loss carryforwards of $3.1 billion, most of which expire in 2024 through 2043, and foreign net operating loss carryforwards of $1.9 billion, of which $162 million expire in 2024 through 2043, and the remainder of which do not expire.

Schedule of operating loss carryforwards and general business credit carryforwards

The following table presents the amounts of federal, state and foreign net operating loss carryforwards and foreign tax credit carryforwards:

	December 31,
(In millions)	2023		2022
Net operating loss carryforwards: (1)
Federal	$	86	$	214
State	3,074		2,810
Foreign	1,880		2,373
Foreign tax credit carryforwards	16		17

(1)At December 31, 2023, the Company had federal net operating loss carryforwards of $86 million, most of which do not expire, state net operating loss carryforwards of $3.1 billion, most of which expire in 2024 through 2043, and foreign net operating loss carryforwards of $1.9 billion, of which $162 million expire in 2024 through 2043, and the remainder of which do not expire.

Schedule of unrecognized tax benefits

Unrecognized tax benefits were as follows:

	December 31,
(In millions)	2023		2022		2021
Unrecognized tax benefits - Beginning of year	$	96	$	124	$	171
Increases for tax positions taken during the current year	2		3		16
Increases for tax positions taken in prior years	8		—		5
Decreases for tax positions taken in prior years	(10)		(18)		(41)
Decreases for settlements	(3)		(2)		(1)
Lapse of the statute of limitations	(9)		(11)		(26)
Unrecognized tax benefits - End of year	$	84	$	96	$	124