Income Taxes (Tables)

12 Months Ended

Dec. 31, 2023

Income Tax Disclosure [Abstract]

Schedule of Income before Income Taxes

The components of income before provision for income taxes are as follows (in thousands):

	Year Ended December 31,
	2023		2022		2021
Domestic	$	1,977,687	$	1,260,614	$	737,620
Foreign	444,339		321,182		193,259
Income before income taxes	$	2,422,026	$	1,581,796	$	930,879

Schedule of Components of Income Tax Expense (Benefit)

The components of the provision for income taxes are as follows (in thousands):

	Year Ended December 31,
	2023		2022		2021
Current provision for income taxes:
Federal	$	574,449	$	359,158	$	137,203
State	106,866		76,321		38,478
Foreign	24,186		38,250		13,391
Total current	705,501		473,729		189,072
Deferred tax expense (benefit):
Federal	(372,270)		(219,568)		(98,534)
State	(41,152)		(34,689)		(16,289)
Foreign	42,626		9,878		15,776
Total deferred tax expense (benefit)	(370,796)		(244,379)		(99,047)
Total provision for income taxes	$	334,705	$	229,350	$	90,025

Schedule of Effective Income Tax Rate Reconciliation

The reconciliation of the statutory federal income tax rate and our effective income tax rate is as follows (in percentages):

	Year Ended December 31,
	2023		2022		2021
U.S. federal statutory income tax rate	21.00	%	21.00	%	21.00	%
State tax, net of federal benefit	2.13		2.09		1.89
Taxes on foreign earnings differential	(1.96)		(2.24)		(2.13)
Tax credits	(2.74)		(2.24)		(2.70)
Change in valuation allowance	—		—		0.01
Stock-based compensation	(4.59)		(4.07)		(8.32)
Acquisition and integration costs	0.01		0.05		0.03
Other, net	(0.04)		(0.09)		(0.11)
Effective tax rate	13.81	%	14.50	%	9.67	%

Schedule of Deferred Tax Assets and Liabilities

The tax effects of temporary differences that give rise to significant portions of deferred tax assets (liabilities) are as follows (in thousands):

	December 31,
	2023		2022
Deferred tax assets:
Intangible assets	$	322,325	$	355,521
Reserves and accruals not currently deductible	120,973		63,517
Deferred revenue	295,268		182,594
Tax credits	118,123		100,284
Lease financing obligation	15,485		15,072
Capitalized research and development expenses	417,095		228,946
Stock-based compensation	28,079		25,480
Net operating losses	34,274		29,469
Other	1,328		8,721
Gross deferred tax assets	1,352,950		1,009,604
Valuation allowance	(146,268)		(132,689)
Total deferred tax assets	1,206,682		876,915
Deferred tax liabilities:
US tax on foreign earnings	(245,074)		(286,625)
Right of use asset	(12,935)		(12,383)
Other	(2,881)		(3,037)
Total deferred tax liabilities	(260,890)		(302,045)
Net deferred tax assets	$	945,792	$	574,870

The following table presents the breakdown between non-current deferred tax assets and liabilities (in thousands):

	December 31,
	2023		2022
Deferred tax assets, non-current	$	945,792	$	574,912
Deferred tax liabilities, non-current	—		(42)
Total net deferred tax assets	$	945,792	$	574,870

Schedule of Unrecognized Tax Benefits Roll Forward

The reconciliation of the beginning and ending amount of gross unrecognized tax benefits as of December 31, 2023, 2022 and 2021 is as follows (in thousands):

	Year Ended December 31,
	2023		2022		2021
Gross unrecognized tax benefits—beginning balance	$	137,357	$	114,813	$	92,500
Increases related to tax positions taken in a prior year	4,690		1,566		2,476
Increases related to tax positions taken during current year	39,895		25,355		21,104
Decreases related to tax positions taken in a prior year	(513)		(3,781)		(853)
Decreases related to lapse of statute of limitations	(18,163)		(596)		(414)
Gross unrecognized tax benefits—ending balance	$	163,266	$	137,357	$	114,813