INCOME TAXES (Tables)

12 Months Ended

May 31, 2022

Income Tax Disclosure [Abstract]

Geographical Breakdown of Income Before Income Taxes

	Year Ended May 31,
(in millions)	2022			2021		2020
Domestic	$	(629	)	$	4,375	$	3,890
Foreign		8,278			8,624		8,173
Income before income taxes	$	7,649		$	12,999	$	12,063

Components of (Provision for) Benefit from Income Taxes

	Year Ended May 31,
(Dollars in millions)	2022			2021			2020
Current provision:
Federal	$	(709	)	$	(516	)	$	(1,616	)
State		(186	)		(233	)		(19	)
Foreign		(1,183	)		(929	)		(1,144	)
Total current provision	$	(2,078	)	$	(1,678	)	$	(2,779	)
Deferred benefit:
Federal	$	1,661		$	(8,631	)	$	983
State		139			77			(50	)
Foreign		(654	)		10,979			(82	)
Total deferred benefit	$	1,146		$	2,425		$	851
Total (provision for) benefit from income taxes	$	(932	)	$	747		$	(1,928	)
Effective income tax expense (benefit) rate	12.2%			(5.7%)			16.0%

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

	Year Ended May 31,
(Dollars in millions)	2022			2021			2020
U.S. federal statutory tax rate	21.0%			21.0%			21.0%
Tax provision at statutory rate	$	(1,606	)	$	(2,730	)	$	(2,533	)
Foreign earnings at other than United States rates		536			580			496
Net impact of intra-entity IP transfer		—			2,266			—
State tax expense, net of federal benefit		(132	)		(206	)		(172	)
Settlements and releases from judicial decisions and statute expirations, net		263			582			137
Tax contingency interest accrual, net		(44	)		(55	)		(163	)
Domestic tax contingency, net		(441	)		(282	)		(58	)
Federal research and development credit		222			169			151
Stock-based compensation		263			300			166
Other, net		7			123			48
Total (provision for) benefit from income taxes	$	(932	)	$	747		$	(1,928	)

Components of Deferred Tax Liabilities and Assets

	May 31,
(in millions)	2022			2021
Deferred tax assets:
Accruals and allowances	$	493		$	452
Employee compensation and benefits		818			755
Differences in timing of revenue recognition		623			547
Lease liabilities		688			524
Basis of property, plant and equipment and intangible assets		11,362			12,161
Tax credit and net operating loss carryforwards		4,409			3,934
Other		141			—
Total deferred tax assets		18,534			18,373
Valuation allowance		(1,742	)		(1,526	)
Total deferred tax assets, net		16,792			16,847
Deferred tax liabilities:
Unrealized gain on stock		(78	)		(78	)
Acquired intangible assets		(126	)		(266	)
GILTI deferred		(8,937	)		(9,883	)
ROU assets		(668	)		(488	)
Withholding taxes on foreign earnings		(232	)		(195	)
Other		—			(165	)
Total deferred tax liabilities		(10,041	)		(11,075	)
Net deferred tax assets	$	6,751		$	5,772
Recorded as:
Non-current deferred tax assets	$	12,782		$	13,636
Non-current deferred tax liabilities		(6,031	)		(7,864	)
Net deferred tax assets	$	6,751		$	5,772

Gross Unrecognized Tax Benefits, Including Acquisitions

	Year Ended May 31,
(in millions)	2022			2021			2020
Gross unrecognized tax benefits as of June 1	$	6,912		$	6,972		$	6,348
Increases related to tax positions from prior fiscal years		66			225			624
Decreases related to tax positions from prior fiscal years		(24	)		(836	)		(298	)
Increases related to tax positions taken during current fiscal year		919			531			628
Settlements with tax authorities		(117	)		(51	)		(177	)
Lapses of statutes of limitation		(333	)		(66	)		(116	)
Cumulative translation adjustments and other, net		(139	)		137			(37	)
Total gross unrecognized tax benefits as of May 31	$	7,284		$	6,912		$	6,972