INCOME TAXES	9 Months Ended
Sep. 30, 2013
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES In the three-month period ended September 30, 2013, the Company recognized an income tax benefit of $169.2 million, which comprised of $171.0 million related to the expected tax benefit in tax jurisdictions outside of Canada in addition to an income tax expense of $1.8 million related to Canadian income taxes. In the nine-month period ended September 30, 2013, the Company recognized an income tax benefit of $247.7 million, which comprised of $252.5 million related to the expected tax benefit in tax jurisdictions outside of Canada and an income tax expense of $4.8 million related to Canadian income taxes. In the three-month and nine-month periods ended September 30, 2013, the Company’s effective tax rate was primarily impacted by (i) tax provision generated from the Company’s annualized effective tax rate applied against the overall loss of the Company, (ii) the impairment of intangibles in the U.S. and Australia, (iii) recognition of U.S. research and development credits associated with a change in tax law, (iv) true-ups recorded for recently filed returns in the U.S. and Canada and (v) the establishment of a valuation allowance on our previously recorded “reported” foreign tax credits in the U.S. due to the expectation that they will expire before usage. The Company records a valuation allowance against its deferred tax assets to reduce the net carrying value to an amount that it believes is more likely than not to be realized. When the Company establishes or reduces the valuation allowance against its deferred tax assets, the provision for income taxes will increase or decrease, respectively, in the period such determination is made. The valuation allowance against deferred tax assets was $353.5 million as of September 30, 2013 and $124.5 million as of December 31, 2012. The majority of the increase is due to acquired valuation allowances which were established on B&L before acquisition ($164.0 million) and an increase for the establishment of a valuation allowance on our previously recorded “reported” foreign tax credits in the U.S. ($65.0 million). The Company will continue to assess this amount for appropriateness on a go-forward basis associated with the B&L business. The Company has determined as of September 30, 2013 that a valuation allowance against its U.S. foreign tax credits is warranted as it has determined it is more likely than not the Company will not realize these deferred tax assets in the future. As of September 30, 2013, the Company had $185.5 million of unrecognized tax benefits, which included $42.5 million relating to interest and penalties. Of the total unrecognized tax benefits, $145.0 million would reduce the Company’s effective tax rate, if recognized. The Company anticipates that up to $14.3 million of unrecognized tax benefits may be resolved within the next 12 months. The Company’s continuing practice is to recognize interest and penalties related to income tax matters in income tax expense. As of September 30, 2013, the Company had accrued $2.0 million for interest and $0.3 million for penalties. Valeant and its subsidiaries have closed the IRS audits through the 2009 tax year. Valeant is currently under examination for various state tax audits for years 2002 to 2010. Valeant Pharmaceuticals International, Inc. (f.k.a. Biovail Corporation) is under examination by the CRA for its 2005 to 2008 tax years. In 2013 the Company received updated reassessments for the 2005, 2006, 2007, and 2008 tax years which mainly relate to CRA’s denial of deductions for legal and consulting fees. B&L (U.S.) has effectively closed IRS audits through the 2010 tax year. B&L is currently open to audit for various state tax audits for years 1999 to 2012.

INCOME TAXES

In the three-month period ended September 30, 2013, the Company recognized an income tax benefit of $169.2 million, which comprised of $171.0 million related to the expected tax benefit in tax jurisdictions outside of Canada in addition to an income tax expense of $1.8 million related to Canadian income taxes. In the nine-month period ended September 30, 2013, the Company recognized an income tax benefit of $247.7 million, which comprised of $252.5 million related to the expected tax benefit in tax jurisdictions outside of Canada and an income tax expense of $4.8 million related to Canadian income taxes. In the three-month and nine-month periods ended September 30, 2013, the Company’s effective tax rate was primarily impacted by (i) tax provision generated from the Company’s annualized effective tax rate applied against the overall loss of the Company, (ii) the impairment of intangibles in the U.S. and Australia, (iii) recognition of U.S. research and development credits associated with a change in tax law, (iv) true-ups recorded for recently filed returns in the U.S. and Canada and (v) the establishment of a valuation allowance on our previously recorded “reported” foreign tax credits in the U.S. due to the expectation that they will expire before usage.

The Company records a valuation allowance against its deferred tax assets to reduce the net carrying value to an amount that it believes is more likely than not to be realized. When the Company establishes or reduces the valuation allowance against its deferred tax assets, the provision for income taxes will increase or decrease, respectively, in the period such determination is made. The valuation allowance against deferred tax assets was $353.5 million as of September 30, 2013 and $124.5 million as of December 31, 2012. The majority of the increase is due to acquired valuation allowances which were established on B&L before acquisition ($164.0 million) and an increase for the establishment of a valuation allowance on our previously recorded “reported” foreign tax credits in the U.S. ($65.0 million). The Company will continue to assess this amount for appropriateness on a go-forward basis associated with the B&L business. The Company has determined as of September 30, 2013 that a valuation allowance against its U.S. foreign tax credits is warranted as it has determined it is more likely than not the Company will not realize these deferred tax assets in the future.

As of September 30, 2013, the Company had $185.5 million of unrecognized tax benefits, which included $42.5 million relating to interest and penalties. Of the total unrecognized tax benefits, $145.0 million would reduce the Company’s effective tax rate, if recognized. The Company anticipates that up to $14.3 million of unrecognized tax benefits may be resolved within the next 12 months.

The Company’s continuing practice is to recognize interest and penalties related to income tax matters in income tax expense. As of September 30, 2013, the Company had accrued $2.0 million for interest and $0.3 million for penalties.

Valeant and its subsidiaries have closed the IRS audits through the 2009 tax year. Valeant is currently under examination for various state tax audits for years 2002 to 2010. Valeant Pharmaceuticals International, Inc. (f.k.a. Biovail Corporation) is under examination by the CRA for its 2005 to 2008 tax years. In 2013 the Company received updated reassessments for the 2005, 2006, 2007, and 2008 tax years which mainly relate to CRA’s denial of deductions for legal and consulting fees. B&L (U.S.) has effectively closed IRS audits through the 2010 tax year. B&L is currently open to audit for various state tax audits for years 1999 to 2012.