Income Taxes

9 Months Ended

Sep. 27, 2019

Income Tax Disclosure [Abstract]

Income Taxes

NOTE 10. INCOME TAXES

Our effective tax rates for the three and nine months ended September 27, 2019 were 11.8% and 13.5%, respectively, as compared to 17.0% and 16.4% for the three and nine months ended September 28, 2018, respectively. The year-over-year decrease was due primarily to increases in favorable impacts of certain federal and international tax benefits and favorable impacts of a higher mix of income in jurisdictions with lower tax rates than the U.S. federal statutory rate of 21%.

Our effective tax rate for 2019 and 2018 differs from the U.S. federal statutory rate of 21% due primarily to the positive and negative effects of the Tax Cuts and Jobs Act (“TCJA”), U.S. federal permanent differences, the impact of credits and deductions provided by law, and earnings outside the United States that are indefinitely reinvested and taxed at rates lower than the U.S. federal statutory rate.