Income Taxes (Tables)

12 Months Ended

Jun. 30, 2021

Income Tax Disclosure [Abstract]

Earnings from Continuing Operations before Income Taxes

Earnings before income taxes shown below are based on the geographic location to which such earnings are attributable.

	Years Ended June 30,
	2021		2020		2019
	(in millions)
Earnings before income taxes:
U.S.	$	604.4	$	492.4	$	526.4
Foreign	91.8		87.2		80.8
Total	$	696.2	$	579.5	$	607.3

Components of Provision for Income Taxes

The Provision for income taxes consists of the following components:

	Years Ended June 30,
	2021		2020		2019
	(in millions)
Current:
U.S. Domestic	$	51.2	$	46.7	$	88.8
Foreign	34.9		33.1		24.7
State	10.5		8.3		15.1
Total current	96.7		88.1		128.7
Deferred:
U.S. Domestic	55.3		33.1		2.2
Foreign	(9.5)		(10.7)		(2.8)
State	6.2		6.5		(2.9)
Total deferred	52.0		29.0		(3.5)
Total Provision for income taxes	$	148.7	$	117.0	$	125.2

Effective Income Tax Rate Reconciliation

	Years Ended June 30,
	2021		%	2020		%	2019		%
	(in millions)
Provision for income taxes at U.S. statutory rate	$	146.2	21.0	$	121.7	21.0	$	127.5	21.0
Increase (decrease) in Provision for income taxes from:
State taxes, net of federal tax	15.2		2.2	11.3		1.9	12.0		2.0
Foreign tax differential	4.8		0.7	3.2		0.6	3.8		0.6
Valuation allowances	1.0		0.1	2.4		0.4	0.4		0.1
Stock-based compensation - excess tax benefits (“ETB”)	(16.9)		(2.4)	(15.6)		(2.7)	(19.3)		(3.2)
Tax Act Items	—		—	—		—	(0.5)		(0.1)
Other	(1.6)		(0.2)	(5.9)		(1.0)	1.3		0.2
Total Provision for income taxes	$	148.7	21.4	$	117.0	20.2	$	125.2	20.6

Components of Deferred Tax Assets and Liabilities

Significant components of the Company’s deferred tax assets and liabilities at June 30, 2021 and 2020 were as follows:

	June 30,
	2021		2020
	(in millions)
Classification:
Long-term deferred tax assets (included in Other non-current assets)	$	5.9	$	2.6
Long-term deferred tax liabilities	(400.7)		(126.8)
Net deferred tax liabilities	$	(394.8)	$	(124.2)
Components:
Deferred tax assets:
Accrued expenses not currently deductible	$	8.2	$	3.1
Compensation and benefits not currently deductible	64.7		59.1
Net operating and capital losses	33.6		16.4
Tax credits	11.2		7.7
Other	15.8		9.1
Total deferred tax assets	133.4		95.5
Less: Valuation allowances	(10.5)		(6.7)
Deferred tax assets, net	123.0		88.8
Deferred tax liabilities:
Goodwill and identifiable intangibles	319.1		112.8
Depreciation	29.0		17.3
Net deferred expenses	142.5		66.5
Unremitted earnings	16.3		9.5
Other	10.9		7.0
Deferred tax liabilities	517.8		213.0
Net deferred tax liabilities	$	(394.8)	$	(124.2)

Summary of Activity Related to Unrecognized Tax Benefits

The following table summarizes the activity related to the Company’s gross unrecognized tax positions:

	Fiscal Year Ended June 30,
	2021		2020		2019
	(in millions)
Beginning balance	$	37.1	$	40.2	$	22.8
Gross increase related to prior period tax positions	12.2		0.5		17.3
Gross increase related to current period tax positions	4.3		5.9		2.8
Gross decrease related to prior period tax positions	(2.9)		(9.5)		(2.6)
Ending balance	$	50.7	$	37.1	$	40.2