INCOME TAXES (Tables)

12 Months Ended

May 31, 2016

Income Taxes [Abstract]

Geographical Breakdown of Income Before Provision for Income Taxes

	Year Ended May 31,
(in millions)	2016		2015		2014
Domestic	$	4,033	$	5,136	$	5,397
Foreign		7,409		7,698		8,307
Income before provision for income taxes	$	11,442	$	12,834	$	13,704

Components of Provision for Income Taxes

	Year Ended May 31,
(Dollars in millions)	2016		2015		2014
Current provision:
Federal	$	1,301	$	2,153	$	1,613
State		271		310		337
Foreign		1,074		981		1,047
Total current provision	$	2,646	$	3,444	$	2,997
Deferred benefit:
Federal	$	(123)	$	(408)	$	(68)
State		(21)		(46)		(100)
Foreign		39		(94)		(80)
Total deferred benefit	$	(105)	$	(548)	$	(248)
Total provision for income taxes	$	2,541	$	2,896	$	2,749
Effective income tax rate		22.2%		22.6%		20.1%

Reconciliation of Differences Between Federal Statutory Tax Rate and Effective Tax Rate

	Year Ended May 31,
(in millions)	2016		2015		2014
Tax provision at statutory rate	$	4,005	$	4,492	$	4,796
Foreign earnings at other than United States rates		(1,284)		(1,627)		(1,790)
State tax expense, net of federal benefit		176		176		154
Settlements and releases from judicial decisions and statute expirations, net		(150)		(85)		(168)
Domestic production activity deduction		(155)		(188)		(174)
Other, net		(51)		128		(69)
Total provision for income taxes	$	2,541	$	2,896	$	2,749

Components of Deferred Tax Liabilities and Assets

	May 31,
(in millions)	2016		2015
Deferred tax liabilities:
Unrealized gain on stock	$	(130)	$	(130)
Acquired intangible assets		(1,482)		(1,879)
Unremitted earnings		(987)		(646)
Other		(33)		(11)
Total deferred tax liabilities	$	(2,632)	$	(2,666)
Deferred tax assets:
Accruals and allowances	$	492	$	421
Employee compensation and benefits		1,149		1,123
Differences in timing of revenue recognition		351		335
Depreciation and amortization		9		155
Tax credit and net operating loss carryforwards		2,935		2,649
Total deferred tax assets	$	4,936	$	4,683
Valuation allowance	$	(1,173)	$	(1,024)
Net deferred tax assets	$	1,131	$	993
Recorded as:
Non-current deferred tax assets		1,291		1,458
Non-current deferred tax liabilities (in other non-current liabilities)		(160)		(465)
Net deferred tax assets	$	1,131	$	993

Gross Unrecognized Tax Benefits, Including Acquisitions

	Year Ended May 31,
(in millions)	2016		2015		2014
Gross unrecognized tax benefits as of June 1	$	4,038	$	3,838	$	3,601
Increases related to tax positions from prior fiscal years		350		119		94
Decreases related to tax positions from prior fiscal years		(111)		(17)		(116)
Increases related to tax positions taken during current fiscal year		461		316		307
Settlements with tax authorities		(73)		(30)		(2)
Lapses of statutes of limitation		(73)		(54)		(53)
Cumulative translation adjustments and other, net		(31)		(134)		7
Total gross unrecognized tax benefits as of May 31	$	4,561	$	4,038	$	3,838