Income Taxes (Tables)

12 Months Ended

Oct. 01, 2021

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 1, 2021		October 2, 2020		September 27, 2019
United States	$	804.7	$	435.9	$	427.2
Foreign	794.0		455.8		533.8
Income before income taxes	$	1,598.7	$	891.7	$	961.0

Schedule of Components of Income Tax Expense (Benefit)

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

	Fiscal Years Ended
	October 1, 2021		October 2, 2020		September 27, 2019
Current tax expense (benefit):
Federal	$	87.5	$	44.4	$	85.3
State	—		—		(0.1)
Foreign	70.7		49.5		23.5
	158.2		93.9		108.7
Deferred tax expense (benefit):
Federal	(45.8)		(6.8)		(0.4)
State	(0.1)		—		—
Foreign	(11.9)		(10.2)		(0.9)
	(57.8)		(17.0)		(1.3)
Provision for income taxes	$	100.4	$	76.9	$	107.4

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 1, 2021		October 2, 2020		September 27, 2019
Tax expense at United States statutory rate	$	335.7	$	187.3	$	201.8
Foreign tax rate difference	(155.2)		(86.6)		(115.3)
Tax on deemed repatriation	—		0.2		8.1
Effect of stock compensation	(13.5)		(10.3)		(1.6)
Research and development credits	(27.0)		(23.0)		(25.7)
Change in tax reserve	(51.5)		9.6		18.4
Global Intangible Low-Taxed Income	69.0		35.9		54.3
Foreign Derived Intangible Income	(79.7)		(41.2)		(41.5)
Other, net	22.6		5.0		9.0
Provision for income taxes	$	100.4	$	76.9	$	107.4

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 1, 2021		October 2, 2020
Deferred tax assets:
Inventory	$	15.8	$	12.1
Accrued compensation and benefits	12.7		10.1
Product returns, allowances, and warranty	0.9		0.4
Share-based and other deferred compensation	31.8		25.9
Net operating loss carry forwards	7.1		7.4
Non-United States tax credits	17.0		16.5
State tax credits	126.9		115.5
Operating leases	45.4		43.4
Prepayments	42.1		—
Property, plant, and equipment	35.8		24.3
Other, net	15.0		5.9
Deferred tax assets	350.5		261.5
Less valuation allowance	(150.0)		(137.4)
Net deferred tax assets	200.5		124.1
Deferred tax liabilities:
Property, plant, and equipment	(38.6)		(26.4)
Intangible assets	(5.3)		(7.6)
Operating leases	(40.4)		(41.5)
Other, net	(15.6)		(7.5)
Net deferred tax liabilities	(99.9)		(83.0)
Total net deferred tax assets	$	100.6	$	41.1

The deferred tax assets and liabilities based on tax jurisdictions are presented on our Consolidated Balance Sheets as follows:

	As of
	October 1, 2021		October 2, 2020
Deferred tax assets	$	119.5	$	55.3
Deferred tax liabilities	(18.9)		(14.2)
Net deferred tax asset	$	100.6	$	41.1

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 October 2, 2020	$	117.6
Decreases based on positions related to prior years	(28.6)
Increases based on positions related to current year	5.4
Decreases relating to settlements with taxing authorities	(13.6)
Decreases relating to lapses of applicable statutes of limitations	(25.5)
Balance at October 1, 2021	$	55.3