Income Taxes (Tables)

12 Months Ended

Oct. 02, 2020

Income Tax Disclosure [Abstract]

Schedule of Income before Income Tax, Domestic and Foreign

Income before income taxes consists of the following components (in millions):

	Fiscal Years Ended
	October 2, 2020		September 27, 2019		September 28, 2018
United States	$	435.9	$	427.2	$	712.2
Foreign	455.8		533.8		619.9
Income before income taxes	$	891.7	$	961.0	$	1,332.1

Schedule of Components of Income Tax Expense (Benefit)

The provision for income taxes consists of the following components(in millions):

	Fiscal Years Ended
	October 2, 2020		September 27, 2019		September 28, 2018
Current tax expense (benefit):
Federal	$	44.4	$	85.3	$	347.7
State	—		(0.1)		0.3
Foreign	49.5		23.5		31.2
	93.9		108.7		379.2
Deferred tax expense (benefit):
Federal	(6.8)		(0.4)		20.3
Foreign	(10.2)		(0.9)		14.2
	(17.0)		(1.3)		34.5
Provision for income taxes	$	76.9	$	107.4	$	413.7

Schedule of Effective Income Tax Rate Reconciliation

A reconciliation of income tax expense as computed at the United States federal statutory income tax rate to the provision for income tax expense is as follows (in millions):

	Fiscal Years Ended
	October 2, 2020		September 27, 2019		September 28, 2018
Tax expense at United States statutory rate	$	187.3	$	201.8	$	327.4
Foreign tax rate difference	(86.6)		(115.3)		(111.9)
Tax on deemed repatriation	0.2		8.1		224.6
Effect of stock compensation	(10.3)		(1.6)		(25.6)
Change of tax rate on deferred taxes	—		—		18.3
Research and development credits	(23.0)		(25.7)		(19.9)
Change in tax reserve	10.1		14.0		6.7
Domestic production activities deduction	—		—		(13.9)
Global Intangible Low-Taxed Income	35.9		54.3		—
Foreign Derived Intangible Income	(41.2)		(41.5)		—
Settlements with Tax Authorities	(0.5)		4.3		—
Other, net	5.0		9.0		8.0
Provision for income taxes	$	76.9	$	107.4	$	413.7

Schedule of Deferred Tax Assets and Liabilities

Deferred income tax assets and liabilities consist of the tax effects of temporary differences related to the following (in millions):

	Fiscal Years Ended
	October 2, 2020		September 27, 2019
Deferred tax assets:
Inventory	$	12.1	$	10.1
Bad debts	0.1		0.2
Accrued compensation and benefits	10.1		5.9
Product returns, allowances, and warranty	0.4		0.3
Restructuring	—		0.6
Share-based and other deferred compensation	25.9		21.2
Net operating loss carry forwards	7.4		11.3
Non-United States tax credits	16.5		20.7
State tax credits	115.5		106.4
Leases	43.4		—
Property, plant, and equipment	24.3		17.7
Other, net	5.8		5.9
Deferred tax assets	261.5		200.3
Less valuation allowance	(137.4)		(129.1)
Net deferred tax assets	124.1		71.2
Deferred tax liabilities:
Prepaid insurance	(0.9)		(0.5)
Property, plant, and equipment	(26.4)		(19.3)
Intangible assets	(7.6)		(17.4)
Leases	(41.5)		—
Other, net	(6.6)		(6.3)
Net deferred tax liabilities	(83.0)		(43.5)
Total net deferred tax assets	$	41.1	$	27.7

Summary of Positions for which Significant Change in Unrecognized Tax Benefits is Reasonably Possible

A reconciliation of the beginning and ending amount of gross unrecognized tax benefits is as follows (in millions):

	Unrecognized tax benefits
Balance at September 27, 2019	$	103.3
Increases based on positions related to prior years	2.8
Decreases based on positions related to prior years	(3.9)
Increases based on positions related to current year	15.5
Decreases relating to settlements with taxing authorities	—
Decreases relating to lapses of applicable statutes of limitations	(0.1)
Balance at October 2, 2020	$	117.6