INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Provision from (benefit for) Income Taxes

The provision from income taxes consisted of the following:

  

	Twelve Months Ended December 31,
	2022		2021		2020
	(In millions)
Current:
Federal	$	73.4	$	108.1	$	34.8
State	27.7		39.3		24.0
Foreign	40.3		44.0		33.7
	141.4		191.4		92.5
Deferred:
Federal	68.6		43.3		40.6
State	19.0		4.7		(0.1)
Foreign	0.5		(38.7)		26.0
	88.1		9.3		66.5
Provision from income taxes	$	229.5	$	200.7	$	159.0

Domestic and Foreign Income before Income Taxes

Domestic and foreign income before income taxes was as follows:

	Twelve Months Ended December 31,
	2022		2021		2020
	(In millions)
U.S.	$	794.7	$	885.6	$	470.3
Foreign	135.0		63.6		214.9
	$	929.7	$	949.2	$	685.2

Provision for Income Taxes Reconciles with U.S. Federal Statutory Rate

The provision from income taxes reconciles with the U.S. federal statutory rate, as follows:

	Twelve Months Ended December 31,
	2022			2021			2020
	(In millions)
Federal statutory rate	21.0		%	21.0		%	21.0		%
Provision computed at federal statutory rate	$	195.2		$	199.3		$	143.9
State and local taxes, net of federal tax benefit	34.7			34.9			17.8
Foreign differential	14.8			(10.4)			5.5
Federal research & development credit	(28.5)			(16.6)			(15.9)
Equity compensation	(6.8)			(14.0)			(6.0)
Tax reserves	4.9			(0.8)			1.4
Legal settlement	—			—			0.1
Excess officer’s compensation	6.1			5.8			5.8
Valuation allowance	3.8			0.5			7.8
Other	5.3			2.0			(1.4)
Provision from income taxes	$	229.5		$	200.7		$	159.0
Effective income tax rate	24.7		%	21.2		%	23.2		%

Components of Deferred Income Tax Assets and Liabilities

Components of the deferred income tax assets and liabilities at December 31, 2022 and 2021, were as follows:

	December 31,
	2022		2021
	(In millions)
Deferred income tax assets:
Net operating and capital loss carryforwards	$	110.2	$	124.9
Goodwill and intangible assets	114.6		123.4
Employee compensation programs	45.3		61.0
Foreign tax credits	17.2		17.2
Employee pension benefits	26.7		34.7
Reserves and accrued expenses	10.1		19.6
Accrued legal expense	7.1		94.9
Research and development costs	32.6		34.1
Operating lease asset	19.3		26.0
Other	18.3		14.8
Gross deferred income tax assets	401.4		550.6
Valuation allowance	(185.1)		(192.0)
Total deferred income tax assets, net	216.3		358.6
Deferred income tax liabilities:
Goodwill and intangible assets	(582.6)		(620.6)
Undistributed earnings of foreign subsidiaries	(6.0)		(5.7)
Depreciation	(26.6)		(23.4)
Operating lease liability	(19.3)		(26.0)
Prepaid expenses	(11.3)		(10.7)
Investment basis difference	(23.4)		(17.4)
Other	(0.8)		(4.0)
Total deferred income tax liability	(670.0)		(707.8)
Net deferred income tax liability	$	(453.7)	$	(349.2)

Deferred Income Tax Assets, Included in Other Current Assets, and Liabilities

Our deferred income tax assets and deferred income tax liabilities at December 31, 2022 and 2021, are included in the accompanying Consolidated Balance Sheets as follows:

	December 31,
	2022		2021
	(In millions)
Long-term deferred income tax assets, included in other assets	$	6.6	$	9.0
Long-term deferred income tax liabilities	(460.3)		(358.2)
Net deferred income tax liability	$	(453.7)	$	(349.2)

Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

	2022		2021
	(In millions)
Beginning balance (January 1)	$	48.5	$	41.5
Increases related to prior year tax positions	7.7		8.7
Decreases related to prior year tax positions	(1.0)		(0.1)
Increases related to current year tax positions	12.2		8.7
Decreases related to settlements	(1.0)		(0.5)
Expiration of the statute of limitations for the assessment of taxes	(9.9)		(9.6)
Currency translation adjustment	(0.3)		(0.2)
Ending balance (December 31)	$	56.2	$	48.5