Income Taxes (Tables)

12 Months Ended

Dec. 31, 2020

Components of income tax provision (benefits) from continuing operations

The components of Interest expense, net in our Consolidated Statements of Operations were as follows (in millions):


	For the Years Ended December 31,
	2020		2019		2018
Interest expense, net of capitalized interest	$	29.7	$	48.6	$	39.1
Less: Interest income	1.4		1.1		0.8
Interest expense, net	$	28.3	$	47.5	$	38.3

Our Provision for income taxes from continuing operations consisted of the following (in millions):


	For the Years Ended December 31,
	2020		2019		2018
Current:
Federal	$	61.7	$	55.9	$	59.5
State	14.1		14.2		17.8
Foreign	4.8		9.3		4.6
Total current	80.6		79.4		81.9
Deferred:
Federal	(0.7)		15.0		23.2
State	1.1		3.9		1.0
Foreign	7.1		0.8		1.5
Total deferred	7.5		19.7		25.7
Total provision for income taxes	$	88.1	$	99.1	$	107.6

Income from continuing operations before income taxes

Income from continuing operations before income taxes was comprised of the following (in millions):


	For the Years Ended December 31,
	2020		2019		2018
Domestic	$	268.4	$	383.2	$	428.7
Foreign	176.8		124.7		39.2
Total	$	445.2	$	507.9	$	467.9

Summary of difference between the income tax provision from continuing operations computed at the statutory federal income tax rate and the financial statement provision for taxes

The difference between the income tax provision from continuing operations computed at the statutory federal income tax rate and the financial statement Provision for income taxes is summarized as follows (in millions):


	For the Years Ended December 31,
	2020		2019		2018
Provision at the U.S. statutory rate of 21%	$	93.5	$	106.7	$	98.3
Increase (reduction) in tax expense resulting from:
State income tax, net of federal income tax benefit	10.8		13.2		15.5

Tax credits, net of unrecognized tax benefits	(7.8)		(13.8)		(2.5)
Change in unrecognized tax benefits	0.2		3.1		0.4
Change in valuation allowance	7.8		1.9		5.0
Foreign taxes at rates other than U.S. statutory rate	(33.6)		(20.7)		(3.2)
Deemed inclusions	9.2		8.3		3.9
Global intangible low-taxed income	10.3		9.5		0.7
Change in rates from the Tax Act & other law changes	0.7		(0.8)		1.9
Excess tax benefits from stock-based compensation	(4.2)		(10.9)		(10.5)
Miscellaneous other	1.2		2.6		(1.9)
Total provision for income taxes	$	88.1	$	99.1	$	107.6

Summary of deferred tax assets (liabilities)

Deferred tax assets (liabilities) were comprised of the following (in millions):


	As of December 31,
	2020		2019
Gross deferred tax assets:
Warranties	$	29.2	$	27.8
Loss carryforwards (foreign, U.S. and state)	26.8		23.2
Post-retirement and pension benefits	24.8		22.4
Inventory reserves	7.3		5.6
Receivables allowance	3.8		3.1
Compensation liabilities	10.2		6.2
Insurance liabilities	—		1.6
Legal reserves	10.1		8.5
Tax credits, net of federal effect	11.1		11.4
Other	8.0		7.1
Total deferred tax assets	131.3		116.9
Valuation allowance	(37.0)		(24.9)
Total deferred tax assets, net of valuation allowance	94.3		92.0
Gross deferred tax liabilities:
Depreciation	(58.7)		(52.5)
Intangibles	(15.2)		(15.1)
Insurance liabilities	(1.0)		—
Other	(6.2)		(2.9)
Total deferred tax liabilities	(81.1)		(70.5)
Net deferred tax assets	$	13.2	$	21.5