Income taxes (Tables)

12 Months Ended

Dec. 31, 2016

Income Tax Disclosure [Abstract]

Income before income taxes

Income before Income Taxes

	For Years Ended December 31,
	2016		2015		2014
U.S.	$	3,953	$	3,218	$	2,684
Non-U.S.		977		998		1,190
Total	$	4,930	$	4,216	$	3,874

Provision (benefit) for income taxes

Provision (Benefit) for Income Taxes

	For Years Ended December 31,
	2016							2015							2014
	Current		Deferred			Total		Current		Deferred			Total		Current		Deferred			Total
U.S. federal	$	1,289	$	(122	)	$	1,167	$	1,110	$	(72	)	$	1,038	$	911	$	(73	)	$	838
Non-U.S.		238		(80	)		158		168		14			182		194		11			205
U.S. state		10		—			10		7		3			10		9		1			10
Total	$	1,537	$	(202	)	$	1,335	$	1,285	$	(55	)	$	1,230	$	1,114	$	(61	)	$	1,053

Principal reconciliation items from U.S. statutory income tax rate to the effective tax rate

Principal reconciling items from the U.S. statutory income tax rate to the effective tax rate (Provision for income taxes as a percentage of Income before income taxes) are as follows:

	For Years Ended December 31,
	2016			2015				2014
U.S. statutory income tax rate		35.0%			35.0%				35.0%
Non-U.S. effective tax rates		(3.7	)			(4.0	)			(5.5	)
U.S. excess tax benefit for stock compensation (a)		(3.0	)		—				—
U.S. tax benefit for manufacturing		(1.5	)			(1.6	)			(1.3	)
U.S. R&D tax credit		(1.2	)			(1.3	)			(1.5	)
U.S. non-deductible expenses		0.3				0.3				0.2
Impact of changes to uncertain tax positions		0.6				0.2				0.1
Other		0.6				0.6				0.2
Effective tax rate		27.1	%			29.2	%			27.2	%

(a) This is related to the adoption of ASU 2016-09 as discussed in Note 2.

Primary components of deferred income tax assets and liabilities

The primary components of deferred income tax assets and liabilities are as follows:

	December 31,
	2016			2015
Deferred income tax assets:
Stock compensation	$	220		$	244
Accrued expenses		219			215
Deferred loss and tax credit carryforwards		214			226
Inventories and related reserves		145			147
Retirement costs for defined benefit and retiree health care		82			87
Other		81			101
Total deferred income tax assets, before valuation allowance		961			1,020
Valuation allowance		(128	)		(186	)
Total deferred income tax assets, after valuation allowance		833			834
Deferred income tax liabilities:
Acquisition-related intangibles and fair-value adjustments		(460	)		(565	)
International earnings		(32	)		(105	)
Total deferred income tax liabilities		(492	)		(670	)
Net deferred income tax asset	$	341		$	164

Deferred income tax assets and liabilities presentation on the Balance sheet

The deferred income tax assets and liabilities based on tax jurisdictions are presented on our Consolidated Balance Sheets as follows:

	December 31,
	2016			2015
Deferred income tax assets	$	374		$	201
Deferred income tax liabilities		(33	)		(37	)
Net deferred income tax asset	$	341		$	164

Summary of uncertain tax positions

The changes in the total amounts of uncertain tax positions are as follows:

	2016			2015			2014
Balance, January 1	$	84		$	108		$	91
Additions based on tax positions related to the current year		4			11			10
Additions for tax positions of prior years		189			3			52
Reductions for tax positions of prior years		(2	)		(21	)		(9	)
Settlements with tax authorities		(32	)		(17	)		(36	)
Balance, December 31	$	243		$	84		$	108
Interest income (expense) recognized in the year ended December 31	$	4		$	8		$	6
Interest receivable (payable) as of December 31	$	13		$	9		$	—