INCOME TAXES (Tables)

12 Months Ended

Feb. 01, 2026

Income Tax Disclosure [Abstract]

Components of Earnings Before Provision for Income Taxes

The following table presents our earnings before the provision for income taxes:

in millions	Fiscal		Fiscal		Fiscal
	2025		2024		2023
United States	$	17,431	$	18,119	$	18,681
Foreign	1,171		1,287		1,243
Total	$	18,602	$	19,406	$	19,924

Components of Provision for Income Taxes

The following table presents our provision for income taxes:

in millions	Fiscal		Fiscal		Fiscal
	2025		2024		2023
Current:
Federal	$	2,812	$	3,417	$	3,764
State	725		836		882
Foreign	414		386		365
Total current	3,951		4,639		5,011
Deferred:
Federal	503		(67)		(228)
State	46		25		12
Foreign	(54)		3		(14)
Total deferred	495		(39)		(230)
Provision for income taxes:
Federal	3,315		3,350		3,536
State	771		861		894
Foreign	360		389		351
Total	$	4,446	$	4,600	$	4,781

Reconciliation of Provision for Income Taxes

The following table presents the reconciliation of our provision for income taxes at the federal statutory rate of 21% to the actual tax expense as well as our effective tax rate:

	Fiscal				Fiscal				Fiscal
in millions	2025				2024				2023
	Amount		Percent		Amount		Percent		Amount		Percent
U.S. federal statutory income tax rate	$	3,906	21.0	%	$	4,075	21.0	%	$	4,184	21.0	%
State and local income taxes, net of federal income tax effect (1)	663		3.6		701		3.6		698		3.5
Foreign tax effects	190		1.0		164		0.8		133		0.7
Tax credits	(142)		(0.8)		(150)		(0.8)		(142)		(0.7)
Other adjustments (2)	(171)		(0.9)		(190)		(1.0)		(92)		(0.5)
Total	$	4,446	23.9	%	$	4,600	23.7	%	$	4,781	24.0	%

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Note: Certain percentages may not sum to totals due to rounding.

(1)    State taxes in California, Illinois, Massachusetts, New Jersey and New York made up the majority (greater than 50 percent) of the tax effect in this category.

(2)    Includes immaterial activities in nontaxable or nondeductible items, cross-border tax laws, and changes in unrecognized tax benefits. The Company had no activity in changes in federal tax laws or rates enacted in the current period or changes in federal valuation allowances.

Schedule of Income Taxes Paid

The following table presents income taxes paid:

in millions	Fiscal		Fiscal		Fiscal
	2025		2024		2023
Federal	$	3,590	$	2,475	$	3,737
Domestic state and local:
California	*		186		*
Other	799		606		854
Domestic state and local subtotal	799		792		854
Foreign	459		386		432
Total income taxes paid	$	4,848	$	3,653	$	5,023

—————

*    The amount of income taxes paid during the year does not meet the 5% disaggregation threshold.

Tax Effects of Temporary Differences

The following table presents the tax effects of temporary differences that give rise to significant portions of our deferred tax assets and deferred tax liabilities:

in millions	February 1, 2026		February 2, 2025
Assets:
Deferred compensation	$	289	$	230
Accrued self-insurance liabilities	262		271
State income taxes	118		133
Non-deductible reserves	450		475
Net operating losses	95		92
Lease liabilities	2,358		2,255
Deferred revenue	265		259
Other	79		77
Total deferred tax assets	3,916		3,792
Valuation allowance	(6)		(4)
Total deferred tax assets, net of valuation allowance	3,910		3,788
Liabilities:
Merchandise inventories	(26)		(12)
Property and equipment	(1,514)		(854)
Intangible assets and goodwill	(2,438)		(2,200)
Lease right-of-use assets	(2,276)		(2,178)
Tax on unremitted earnings	(42)		(54)
Other	(167)		(183)
Total deferred tax liabilities	(6,463)		(5,481)
Net deferred tax liabilities	$	(2,553)	$	(1,693)

Schedule of Tax Balance Sheet Accounts

The following table presents our deferred tax assets and deferred tax liabilities, netted by tax jurisdiction, as presented on the consolidated balance sheets:

in millions	Consolidated Balance Sheet Classification	February 1, 2026		February 2, 2025
Deferred tax assets	Other assets	$	292	$	269
Deferred tax liabilities	Deferred income taxes	(2,845)		(1,962)
Net deferred tax liabilities		$	(2,553)	$	(1,693)

Schedule of Unrecognized Tax Benefits

The following table reconciles the beginning and ending amount of our gross unrecognized tax benefits:

in millions	Fiscal		Fiscal		Fiscal
	2025		2024		2023
Unrecognized tax benefits balance at beginning of fiscal year	$	627	$	689	$	643
Additions based on tax positions related to the current year	67		71		74
Additions for tax positions of prior years	11		3		13
Reductions for tax positions of prior years	(71)		(42)		(14)
Reductions due to settlements	(33)		(51)		—
Reductions due to lapse of statute of limitations	(42)		(43)		(27)
Unrecognized tax benefits balance at end of fiscal year	$	559	$	627	$	689