Income Taxes (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Schedule of Earnings (Loss) from Continuing Operations Before Tax by Jurisdiction

Earnings (loss) from continuing operations before tax by jurisdiction are as follows:

	Year Ended December 31,
	2022	2021	2020
	(In $ millions)
U.S.	(292)	202	1,530
International	1,713	2,046	721
Total	1,421	2,248	2,251

Schedule of Income Tax Provision (Benefit)

The income tax provision (benefit) consists of the following:

	Year Ended December 31,
	2022	2021	2020
	(In $ millions)
Current
U.S.	54	—	13
International	306	323	126
Total	360	323	139
Deferred
U.S.	(261)	(16)	308
International	(588)	23	(200)
Total	(849)	7	108
Total	(489)	330	247

Schedule of Effective Tax Rate Reconciliation

A reconciliation of the significant differences between the U.S. federal statutory tax rate of 21% and the effective income tax rate on income from continuing operations is as follows:

	Year Ended December 31,
	2022		2021		2020
	(In $ millions, except percentages)
Income tax provision computed at U.S. federal statutory tax rate	298		472		473
Change in valuation allowance	(15)		(50)		(1)
Equity income and dividends	(47)		(29)		(54)
(Income) expense not resulting in tax impact, net	2		(53)		(46)
U.S. tax effect of foreign earnings and dividends	162		332		65
Foreign tax credits	(120)		(328)		(51)
Other foreign tax rate differentials	(43)		(66)		7
Legislative changes	—		(8)		1
State income taxes, net of federal benefit	(2)		6		4
Recognition of basis differences in investments in affiliates	6		—		(14)
Asset transfers between wholly owned foreign affiliates	(816)		—		(170)
Other, net	86		54		33
Income tax provision (benefit)	(489)		330		247
Effective income tax rate	(34)	%	15	%	11	%

Schedule of Consolidated Deferred Tax Assets and Liabilities

Significant components of the consolidated deferred tax assets and liabilities are as follows:

	As of December 31,
	2022	2021
	(In $ millions)
Deferred Tax Assets
Pension and postretirement obligations	61	96
Accrued expenses	80	31
Inventory	(11)	7
Net operating loss carryforwards	528	526
Tax credit carryforwards	359	207
Other	400	226
Subtotal	1,417	1,093
Valuation allowance(1)	(781)	(642)
Total	636	451
Deferred Tax Liabilities
Depreciation and amortization	743	312
Investments in affiliates	171	382
Other	156	64
Total	1,070	758
Net deferred tax assets (liabilities)	(434)	(307)

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(1)Includes deferred tax asset valuation allowances for the Company's deferred tax assets in the U.S., Spain, Luxembourg, the United Kingdom, Mexico, Hong Kong, France, China, Singapore, Canada and Germany. These valuation allowances relate primarily to net operating loss carryforward benefits, foreign tax credit carryforwards and other net deferred tax assets, all of which may not be realizable.

Schedule of Activity Related to Uncertain Tax Positions

Activity related to uncertain tax positions is as follows:

	Year Ended December 31,
	2022	2021	2020
	(In $ millions)
As of the beginning of the year	218	165	134
Increases in tax positions for the current year	8	33	18
Increases in tax positions for prior years	102	28	26
Decreases in tax positions for prior years	(45)	(11)	(13)
Increases (decreases) due to settlements	(8)	3	—
As of the end of the year	275	218	165
Total uncertain tax positions that if recognized would impact the effective tax rate	274	224	182
Total amount of interest expense (benefit) and penalties recognized in the consolidated statements of operations(1)	10	2	6
Total amount of interest expense and penalties recognized in the consolidated balance sheets	59	52	54

______________________________

(1)This amount reflects interest on uncertain tax positions and release of tax positions due to changes in assessment, statute lapses or audit closures that were reflected in the consolidated statements of operations.