Income Taxes (Tables)

12 Months Ended

Dec. 31, 2021

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,
	2021		2020		2019
Interest expense, net of capitalized interest	$	26.0	$	29.7	$	48.6
Less: Interest income	1.0		1.4		1.1
Interest expense, net	$	25.0	$	28.3	$	47.5

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


	For the Years Ended December 31,
	2021		2020		2019
Current:
Federal	$	72.0	$	61.7	$	55.9
State	17.0		14.1		14.2
Foreign	13.4		4.8		9.3
Total current	102.4		80.6		79.4
Deferred:
Federal	(2.6)		(0.7)		15.0
State	(1.5)		1.1		3.9
Foreign	(2.2)		7.1		0.8
Total deferred	(6.3)		7.5		19.7
Total provision for income taxes	$	96.1	$	88.1	$	99.1

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,
	2021		2020		2019
Domestic	$	307.8	$	268.4	$	383.2
Foreign	252.3		176.8		124.7
Total	$	560.1	$	445.2	$	507.9

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,
	2021		2020		2019
Provision at the U.S. statutory rate of 21%	$	117.6	$	93.5	$	106.7
Increase (reduction) in tax expense resulting from:
State income tax, net of federal income tax benefit	12.1		10.8		13.2

Tax credits, net of unrecognized tax benefits	(9.3)		(7.8)		(13.8)
Change in unrecognized tax benefits	0.2		0.2		3.1
Change in valuation allowance	—		7.8		1.9
Foreign taxes at rates other than U.S. statutory rate	(43.6)		(33.6)		(20.7)
Deemed inclusions	7.7		9.2		8.3
Global intangible low-taxed income	18.8		10.3		9.5
Change in rates from the Tax Act & other law changes	0.1		0.7		(0.8)
Excess tax benefits from stock-based compensation	(5.7)		(4.2)		(10.9)
Miscellaneous other	(1.8)		1.2		2.6
Total provision for income taxes	$	96.1	$	88.1	$	99.1

Summary of deferred tax assets (liabilities)

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


	As of December 31,
	2021		2020
Gross deferred tax assets:
Warranties	$	32.9	$	29.2
Loss carryforwards (foreign, U.S. and state)	28.5		26.8
Post-retirement and pension benefits	15.6		24.8
Inventory reserves	7.1		7.3
Receivables allowance	4.5		3.8
Compensation liabilities	9.5		10.2

Legal reserves	12.1		10.1
Tax credits, net of federal effect	11.5		11.1
Other	9.6		8.0
Total deferred tax assets	131.3		131.3
Valuation allowance	(37.3)		(37.0)
Total deferred tax assets, net of valuation allowance	94.0		94.3
Gross deferred tax liabilities:
Depreciation	(58.7)		(58.7)
Intangibles	(15.5)		(15.2)
Insurance liabilities	(1.4)		(1.0)
Other	(7.1)		(6.2)
Total deferred tax liabilities	(82.7)		(81.1)
Net deferred tax assets	$	11.3	$	13.2