Income Taxes (Tables)

12 Months Ended

Sep. 30, 2022

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
	September 30, 2022		October 1, 2021		October 2, 2020
United States	$	663.0	$	804.7	$	435.9
Foreign	813.6		794.0		455.8
Income before income taxes	$	1,476.6	$	1,598.7	$	891.7

Schedule of Components of Income Tax Expense (Benefit)

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

	Fiscal Years Ended
	September 30, 2022		October 1, 2021		October 2, 2020
Current tax expense (benefit):
Federal	$	88.7	$	87.5	$	44.4
State	0.1		—		—
Foreign	51.5		70.7		49.5
	140.3		158.2		93.9
Deferred tax expense (benefit):
Federal	43.9		(45.8)		(6.8)
State	0.1		(0.1)		—
Foreign	17.1		(11.9)		(10.2)
	61.1		(57.8)		(17.0)
Provision for income taxes	$	201.4	$	100.4	$	76.9

Schedule of Effective Income Tax Rate Reconciliation

The actual income tax expense is different than that which would have been computed by applying the federal statutory tax rate to income before income taxes. 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
	September 30, 2022		October 1, 2021		October 2, 2020
Tax expense at United States statutory rate	$	310.1	$	335.7	$	187.3
Foreign tax rate difference	(139.2)		(155.2)		(86.6)
Tax on deemed repatriation	—		—		0.2
Effect of stock compensation	(20.1)		(13.5)		(10.3)
Research and development credits	(26.1)		(27.0)		(23.0)
Change in tax reserve	7.4		(51.5)		9.6
Global Intangible Low-Taxed Income	70.0		69.0		35.9
Foreign Derived Intangible Income	(39.9)		(79.7)		(41.2)
Other, net	39.2		22.6		5.0
Provision for income taxes	$	201.4	$	100.4	$	76.9

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
	September 30, 2022		October 1, 2021
Deferred tax assets:
Inventory	$	21.4	$	15.8
Accrued compensation and benefits	11.6		12.7
Product returns, allowances, and warranty	1.5		0.9
Share-based and other deferred compensation	27.8		31.8
Net operating loss carry forwards	14.0		7.1
Non-United States tax credits	17.0		17.0
State tax credits	138.0		126.9
Operating leases	56.8		45.4
Prepayments	—		42.1
Property, plant, and equipment	31.4		35.8
Intangible assets	20.4		—
Other, net	8.7		15.0
Deferred tax assets	348.6		350.5
Less valuation allowance	(161.4)		(150.0)
Net deferred tax assets	187.2		200.5
Deferred tax liabilities:
Property, plant, and equipment	(59.2)		(38.6)
Intangible assets	(4.7)		(5.3)
Operating leases	(51.5)		(40.4)
Other, net	(39.7)		(15.6)
Net deferred tax liabilities	(155.1)		(99.9)
Total net deferred tax assets	$	32.1	$	100.6

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

	As of
	September 30, 2022		October 1, 2021
Deferred tax assets	$	52.7	$	119.5
Deferred tax liabilities	(20.6)		(18.9)
Net deferred tax asset	$	32.1	$	100.6

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 1, 2021	$	55.3
Decreases based on positions related to prior years	(2.1)
Increases based on positions related to current year	9.3
Balance at September 30, 2022	$	62.5