Income Taxes (Tables)

12 Months Ended

Dec. 31, 2020

Income Tax Disclosure [Abstract]

Domestic and Foreign Components of Income (Loss) Before Income Taxes

The domestic and foreign components of income (loss) before income taxes were as follows (in millions):

	Years Ended December 31,
	2020			2019			2018
Domestic	$	(2,169	)	$	(4,501	)	$	(168	)
Foreign		(610	)		(1,961	)		209
	$	(2,779	)	$	(6,462	)	$	41

Components of Provision for Income Taxes

The components of the provision for income taxes consisted of (in millions):

	Years Ended December 31,
	2020			2019			2018
Current:
Federal	$	(279	)	$	(7	)	$	(5	)
State		(4	)		4			(3	)
Foreign		106			60			134
Total current income tax provision		(177	)		57			126
Deferred:
Federal		7			(344	)		11
State		—			(18	)		—
Foreign		(72	)		(64	)		(74	)
Total deferred income tax provision		(65	)		(426	)		(63	)
Total income tax provision	$	(242	)	$	(369	)	$	63

Difference Between Effective Tax Rate

The difference between the effective tax rate reflected in the provision for income taxes and the U.S. federal statutory rate was as follows (in millions):

	Years Ended December 31,
	2020			2019			2018
Federal income tax at U.S. statutory rate	$	(584	)	$	(1,357	)	$	9
Foreign income tax rate differential		(30	)		(40	)		(3	)
Goodwill impairment		271			666			—
Reduction of FTC carryforwards		184			—			—
Tax Benefit from CARES Act		(83	)		—			—
Change in deferred tax valuation allowance		(83	)		218			49
Nondeductible expenses		44			61			20
Foreign dividends, net of foreign tax credits		28			163			27
Change in uncertain tax positions		20			(60	)		(5	)
Prior years taxes		(6	)		3			(13	)
State income taxes - net of federal benefit		(4	)		(16	)		(3	)
Other		1			(7	)		(18	)
Total income tax provision	$	(242	)	$	(369	)	$	63

Significant Components of Deferred Tax Assets and Liability

Significant components of our deferred tax assets and liabilities were as follows (in millions):

	December 31,
	2020			2019
Deferred tax assets:
Allowances and operating liabilities	$	318		$	395
Net operating loss carryforwards		387			270
Stock Compensation		61			69
Tax credit carryforwards		411			702
Other		122			60
Valuation allowance		(1,093	)		(1,175	)
Total deferred tax assets		206			321
Deferred tax liabilities:
Tax over book depreciation		60			115
Capital leases		80			86
Intangible assets		49			110
Deferred income		47			65
Accrued tax on unremitted earnings		33			33
Other		15			52
Total deferred tax liabilities		284			461
Net deferred tax liability	$	78		$	140

Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in millions):

	2020			2019			2018
Unrecognized tax benefit at beginning of year	$	38		$	98		$	132
Gross increase for current period tax positions		—			—			15
Gross increase for tax positions in prior years		25			10			31
Gross decrease for tax positions in prior years		(2	)		(60	)		(10	)
Cash Settlements		(1	)		(3	)		(69	)
Lapse of statute of limitations		(3	)		(7	)		(1	)
Unrecognized tax benefit at end of year	$	57		$	38		$	98

Summary of Net Operating Loss Carryforwards

Net operating loss carryforwards by jurisdiction and expiration as of December 31, 2020 were as follows (in millions):

	Federal			State			Foreign			Total
2020 - 2024 Expiration	$	6		$	2		$	148		$	156
2025 - 2039 Expiration		45			303			428			776
Unlimited Expiration		368			—			557			925
Total Net Operating Loss (NOL)	$	419		$	305		$	1,133		$	1,857
Tax Effected NOL	$	88		$	17		$	282		$	387
Valuation Allowance (VA)		(88	)		(17	)		(279	)		(384	)
Tax Effected NOL Net of VA	$	—		$	—		$	3		$	3