INCOME TAXES (Tables)

12 Months Ended

May 31, 2017

Income Tax Disclosure [Abstract]

Geographical Breakdown of Income Before Provision for Income Taxes

	Year Ended May 31,
(in millions)	2017		2016		2015
Domestic	$	3,533	$	4,033	$	5,136
Foreign		7,984		7,409		7,698
Income before provision for income taxes	$	11,517	$	11,442	$	12,834

Components of Provision for Income Taxes

	Year Ended May 31,
(Dollars in millions)	2017			2016			2015
Current provision:
Federal	$	936		$	1,301		$	2,153
State		257			271			310
Foreign		1,475			1,074			981
Total current provision	$	2,668		$	2,646		$	3,444
Deferred benefit:
Federal	$	(201	)	$	(123	)	$	(408	)
State		(36	)		(21	)		(46	)
Foreign		(249	)		39			(94	)
Total deferred benefit	$	(486	)	$	(105	)	$	(548	)
Total provision for income taxes	$	2,182		$	2,541		$	2,896
Effective income tax rate	18.9%			22.2%			22.6%

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

	Year Ended May 31,
(in millions)	2017			2016			2015
Tax provision at statutory rate	$	4,031		$	4,005		$	4,492
Foreign earnings at other than United States rates		(1,299	)		(1,284	)		(1,627	)
State tax expense, net of federal benefit		150			176			176
Settlements and releases from judicial decisions and statute expirations, net		(189	)		(150	)		(85	)
Domestic production activity deduction		(119	)		(155	)		(188	)
Stock-based compensation		(149	)		74			63
Other, net		(243	)		(125	)		65
Total provision for income taxes	$	2,182		$	2,541		$	2,896

Components of Deferred Tax Liabilities and Assets

	May 31,
(in millions)	2017			2016
Deferred tax liabilities:
Unrealized gain on stock	$	(130	)	$	(130	)
Acquired intangible assets		(2,502	)		(1,482	)
Unremitted earnings		(1,515	)		(987	)
Depreciation and amortization		(180	)		—
Other		(23	)		(33	)
Total deferred tax liabilities	$	(4,350	)	$	(2,632	)
Deferred tax assets:
Accruals and allowances	$	532		$	492
Employee compensation and benefits		1,251			1,149
Differences in timing of revenue recognition		385			351
Depreciation and amortization		—			9
Tax credit and net operating loss carryforwards		4,029			2,935
Total deferred tax assets	$	6,197		$	4,936
Valuation allowance	$	(1,164	)	$	(1,173	)
Net deferred tax assets	$	683		$	1,131
Recorded as:
Non-current deferred tax assets	$	1,143		$	1,291
Non-current deferred tax liabilities (in other non-current liabilities)		(460	)		(160	)
Net deferred tax assets	$	683		$	1,131

Gross Unrecognized Tax Benefits, Including Acquisitions

	Year Ended May 31,
(in millions)	2017			2016			2015
Gross unrecognized tax benefits as of June 1	$	4,561		$	4,038		$	3,838
Increases related to tax positions from prior fiscal years		128			350			119
Decreases related to tax positions from prior fiscal years		(218	)		(111	)		(17	)
Increases related to tax positions taken during current fiscal year		595			461			316
Settlements with tax authorities		(85	)		(73	)		(30	)
Lapses of statutes of limitation		(47	)		(73	)		(54	)
Cumulative translation adjustments and other, net		(15	)		(31	)		(134	)
Total gross unrecognized tax benefits as of May 31	$	4,919		$	4,561		$	4,038