Income Taxes (Tables)

12 Months Ended

Sep. 27, 2020

Income Tax Disclosure [Abstract]

Components of Earnings/(Loss) Before Income Taxes

Components of earnings before income taxes (in millions):

Fiscal Year Ended	Sep 27, 2020		Sep 29, 2019		Sep 30, 2018
United States	$	904.6	$	3,518.7	$	4,826.0
Foreign	259.8		947.5		954.0
Total earnings before income taxes	$	1,164.4	$	4,466.2	$	5,780.0

Provision/(Benefit) for Income Taxes

Provision/(benefit) for income taxes (in millions):

Fiscal Year Ended	Sep 27, 2020		Sep 29, 2019		Sep 30, 2018
Current taxes:
U.S. federal	$	49.9	$	1,414.3	$	156.2
U.S. state and local	36.9		447.8		52.0
Foreign	181.4		458.3		327.0
Total current taxes	268.2		2,320.4		535.2
Deferred taxes:
U.S. federal	(8.4)		(1,074.5)		633.7
U.S. state and local	(4.8)		(322.4)		101.5
Foreign	(15.3)		(51.9)		(8.4)
Total deferred taxes	(28.5)		(1,448.8)		726.8
Total income tax expense	$	239.7	$	871.6	$	1,262.0

Reconciliation of the Statutory U.S. Federal Income Tax Rate With Our Effective Income Tax Rate

Reconciliation of the statutory U.S. federal income tax rate with our effective income tax rate:

Fiscal Year Ended	Sep 27, 2020		Sep 29, 2019		Sep 30, 2018
Statutory rate	21.0	%	21.0	%	24.5	%
State income taxes, net of federal tax benefit	2.2		2.1		2.1
Foreign rate differential	(3.2)		(0.1)		(0.1)
Valuation allowances	10.0		—		—
Excess tax benefits of stock-based compensation	(4.2)		(2.1)		(0.9)
Change in tax rates	(2.2)		—		—
Charitable contributions	(1.7)		—		—
Foreign derived intangible income	(1.4)		(1.5)		—
Residual tax on foreign earnings	—		1.7		—
Tax impacts related to sale of certain operations	—		(1.3)		—
Gain resulting from acquisition of joint venture	—		—		(5.8)
Impact of the Tax Act	—		—		2.8
Other, net	0.1		(0.3)		(0.8)
Effective tax rate	20.6	%	19.5	%	21.8	%

Tax Effect of Temporary Differences and Carryforwards that Comprise Significant Portions of Deferred Tax Assets and Liabilities

Tax effect of temporary differences and carryforwards that comprise significant portions of deferred tax assets and liabilities (in millions):

	Sep 27, 2020		Sep 29, 2019
Deferred tax assets:
Operating lease liabilities	$	2,313.0	$	—
Stored value card liability and deferred revenue	1,678.6		1,649.0
Intangible assets and goodwill	248.6		230.0
Accrued occupancy costs	—		121.6
Other	554.4		413.0
Total	$	4,794.6	$	2,413.6
Valuation allowance	(239.4)		(75.1)
Total deferred tax asset, net of valuation allowance	$	4,555.2	$	2,338.5
Deferred tax liabilities:
Operating lease, right-of-use assets	(2,191.8)		—
Property, plant and equipment	(463.3)		(400.9)
Intangible assets and goodwill	(145.1)		(209.9)
Other	(123.2)		(148.3)
Total	(2,923.4)		(759.1)
Net deferred tax asset (liability)	$	1,631.8	$	1,579.4
Reported as:
Deferred income tax assets	1,789.9		1,765.8
Deferred income tax liabilities (included in Other long-term liabilities)	(158.1)		(186.4)
Net deferred tax asset (liability)	$	1,631.8	$	1,579.4

Summary of Activity Related to Unrecognized Tax Benefits

The following table summarizes the activity related to our unrecognized tax benefits (in millions):

	Sep 27, 2020		Sep 29, 2019		Sep 30, 2018
Beginning balance	$	132.1	$	224.6	$	196.9
Increase related to prior year tax positions	11.1		3.8		17.5
Decrease related to prior year tax positions	(0.5)		(75.3)		(41.8)
Increase related to current year tax positions	9.8		18.5		62.4
Decreases related to settlements with taxing authorities	—		(16.4)		(4.5)
Decrease related to lapsing of statute of limitations	(28.8)		(23.1)		(5.9)
Ending balance	$	123.7	$	132.1	$	224.6