Income taxes (Tables)

12 Months Ended

Dec. 31, 2022

Schedule of detail about captions appearing on the statements of operations

The following table presents detail about captions appearing on the statements of operations:


(in millions)	Year ended December 31,
	2022		2021		2020
Income (loss) before income taxes:
United States	$	618.0	$	555.0	$	(2.6)
Foreign	233.1		198.0		64.9
Total	$	851.1	$	753.0	$	62.3
Current income tax (expense) benefit:
Federal	$	(119.9)	$	(74.0)	$	30.4
State	(32.2)		(32.3)		(4.8)
Foreign	(81.6)		(91.8)		(58.8)
Subtotal	(233.7)		(198.1)		(33.2)
Deferred income tax (expense) benefit:
Federal	18.0		(11.6)		28.0
State	4.4		(1.9)		14.4
Foreign	46.7		31.2		45.1
Subtotal	69.1		17.7		87.5
Income tax (expense) benefit	$	(164.6)	$	(180.4)	$	54.3

Schedule of federal corporate rate reconciled to income tax provision

The following table reconciles the income tax provision calculated at the United States federal corporate rate to the amounts presented in the statements of operations:


(in millions)	Year ended December 31,
	2022			2021			2020
Income before income taxes	$	851.1		$	753.0		$	62.3
United States federal corporate rate	21		%	21		%	21		%
Income tax expense at federal corporate rate	(178.7)			(158.2)			(13.1)
State income taxes, net of federal benefit	(23.3)			(27.0)			7.6
Rate changes related to foreign jurisdictions	1.3			(9.7)			(4.0)
Stock-based compensation	3.5			14.5			10.1
Foreign taxes	12.8			1.4			5.7
Valuation allowance	4.8			4.1			(1.1)
Changes to uncertain tax positions	1.1			(10.7)			40.8
Foreign-derived intangible income	12.1			8.2			6.9
Transaction costs	—			(2.1)			—


Other, net	1.8			(0.9)			1.4
Income tax (expense) benefit	$	(164.6)		$	(180.4)		$	54.3

Schedule of components of deferred tax assets and liabilities

Deferred taxes

The following table presents the components of deferred tax assets and liabilities:


(in millions)	December 31,
	2022		2021
Deferred tax assets:
Reserves and accrued expenses	$	61.7	$	51.6
Pension, postretirement and environmental liabilities	1.1		14.7
Net operating loss and research and development carryforwards	325.7		312.4
Other	6.1		10.2
Deferred tax assets, gross	394.6		388.9
Less: valuation allowances	(179.7)		(187.6)
Deferred tax assets, net	214.9		201.3
Deferred tax liabilities:
Intangibles	(810.4)		(892.8)
Property, plant and equipment	(51.3)		(52.0)
Investment in partnerships	(44.1)		(148.0)

Deferred tax liabilities	(905.8)		(1,092.8)
Net deferred tax liability	$	(690.9)	$	(891.5)
Classification on balance sheets:
Other assets	$	40.5	$	21.5
Deferred income tax liabilities	(731.4)		(913.0)

Schedule of changes to the reserve for uncertain tax positions

The following table reflects changes to the reserve for uncertain tax positions, excluding accrued interest and penalties:


(in millions)	Year ended December 31,
	2022		2021		2020
Beginning balance	$	55.3	$	46.7	$	83.6
Additions:
Tax positions related to the current year	1.2		5.1		3.4
Tax positions related to prior years	—		7.3		3.6
Reductions:
Tax positions related to prior years	—		—		(0.1)
Settlements with taxing authorities	(0.1)		(0.9)		(43.1)
Lapse of statutes of limitations	(2.4)		(1.6)		(1.8)
Currency translation	(2.2)		(1.3)		1.1
Ending balance	$	51.8	$	55.3	$	46.7