Income Taxes (Tables)

12 Months Ended

Dec. 31, 2021

Income Tax Disclosure [Abstract]

Schedule of Income before Income Tax, Domestic and Foreign

Income before income taxes for the years ended December 31 were as follows ($ in millions):

	2021		2020		2019
United States	$	35.0	$	(64.3)	$	100.0
International	219.5		44.3		133.7
Total	$	254.5	$	(20.0)	$	233.7

Schedule of Components of Income Tax Expense (Benefit)

The (benefit) provision for income taxes for the years ended December 31 were as follows ($ in millions):

	2021		2020		2019
Current:
Federal U.S.	$	17.7	$	13.1	$	18.9
Non-U.S.	26.9		13.5		34.6
State and local	4.4		0.9		5.2
Deferred:
Federal U.S.	(2.2)		(13.1)		(0.7)
Non-U.S.	(57.5)		(72.7)		(8.3)
State and local	1.7		(4.2)		(0.1)
Income tax provision	$	(9.0)	$	(62.5)	$	49.6

Schedule of Deferred Tax Assets and Liabilities

Significant components of deferred tax assets and liabilities as of December 31 were as follows ($ in millions):

	2021		2020
Deferred tax assets:
Inventories	$	17.4	$	15.1
Pension benefits	11.5		8.9
Other accruals and prepayments	54.6		45.0
Lease liabilities	34.2		45.1
Stock-based compensation expense	6.8		6.0
Interest expense	8.7		—
Unrealized gains and losses	—		30.9
Tax credit and loss carryforwards	117.3		159.5
Valuation allowances	(90.0)		(126.0)
Total deferred tax asset	160.5		184.5
Deferred tax liabilities:
Property, plant and equipment	(9.6)		(15.0)
Interest expense	—		(2.3)
Unrealized gains and losses	(6.5)		—
Right-of-use assets	(30.3)		(40.3)
Goodwill and other intangible assets	(188.8)		(239.8)
Total deferred tax liability	(235.2)		(297.4)
Net deferred tax liability	$	(74.7)	$	(112.9)

Summary Of Effective Income Tax Rate

The effective income tax rate for the years ended December 31 varies from the U.S. statutory federal income tax rate as follows:

	Percentage of Pretax Income
	2021		2020		2019
Statutory federal income tax rate	21.0	%	21.0	%	21.0	%
Increase (decrease) in tax rate resulting from:
State income taxes (net of federal income tax benefit)	1.2		17.0		1.7
Impact of foreign operations	(6.4)		80.4		(0.6)
Foreign-Derived Intangible Income (“FDII”)	—		—		(1.3)
Subpart F and GILTI, net of foreign tax credits	6.4		(72.4)		2.4
Change in uncertain tax positions	—		3.4		0.7
Research and experimentation credits and other	(1.6)		13.2		(1.1)
Permanent differences and other	2.7		(20.3)		1.1
Excess tax benefit from stock-based compensation	(1.9)		11.6		(2.7)
Valuation allowance release on certain Swiss NOLs	(8.1)		—		—
Impact of step-up of Swiss assets	(16.8)		258.6		—
Effective income tax rate	(3.5)	%	312.5	%	21.2	%

Schedule of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns Roll Forward

A reconciliation of the beginning and ending amount of unrecognized tax benefits, excluding amounts accrued for potential interest and penalties, is as follows ($ in millions):

	2021		2020		2019
Unrecognized tax benefits, beginning of year	$	7.1	$	9.1	$	27.2
Additions based on tax positions related to the current year	0.3		0.3		0.5
Additions for tax positions of prior years	—		0.3		3.1
Reductions for tax positions of prior years	(0.3)		(1.7)		(1.5)
Split-Off related adjustments a	—		—		(18.1)
Lapse of statute of limitations	(1.0)		(1.0)		(1.8)
Settlements	(0.4)		—		(0.4)
Effect of foreign currency translation	—		0.1		0.1
Unrecognized tax benefits, end of year	$	5.7	$	7.1	$	9.1
a Unrecognized tax benefits were reduced by $18.1 million in 2019 related to positions taken prior to the Split-Off for which Danaher, as the Company’s Former Parent, is the primary obligor and is responsible for settlement and payment of any resulting tax obligation.