Income Taxes (Tables)

12 Months Ended

Jun. 30, 2015

Income Tax Disclosure [Abstract]

Schedule of Income before Income Tax, Domestic and Foreign

Earnings before income taxes and discontinued operations are:

(in millions)	2015		2014		2013
U.S. Operations	$	1,733	$	1,665	$	651
Non-U.S. Operations	234		133		237
Earnings before income taxes and discontinued operations	$	1,967	$	1,798	$	888

Schedule of Components of Income Tax Expense (Benefit), Current and Deferred

The provision for income taxes from continuing operations consists of the following:

(in millions)	2015			2014			2013
Current:
Federal	$	424		$	521		$	451
State and local	83			51			62
Non-U.S.	29			37			19
Total current	$	536		$	609		$	532
Deferred:
Federal	$	196		$	24		$	28
State and local	24			3			(5		)
Non-U.S.	(1		)	(1		)	(2		)
Total deferred	219			26			21
Provision for income taxes	$	755		$	635		$	553

Schedule of Effective Income Tax Rate Reconciliation

The following table presents a reconciliation of the provision based on the federal statutory income tax rate to our effective income tax rate from continuing operations:

	2015		2014		2013
Provision at Federal statutory rate	35.0	%	35.0	%	35.0	%
State and local income taxes, net of federal benefit	4.1		2.2		2.5
Foreign tax rate differential	(2.4	)	(1.2	)	(4.0	)
Nondeductible/nontaxable items	0.7		(0.2	)	(0.5	)
Nondeductible goodwill impairment	—		—		33.2
Change in measurement of uncertain tax positions and impact of IRS settlements	0.9		(0.4	)	(5.7	)
Other	0.1		(0.1	)	1.8
Effective income tax rate	38.4	%	35.3	%	62.3	%

Schedule of Deferred Tax Assets and Liabilities

The following table presents the components of the deferred income tax assets and liabilities at June 30:

(in millions)	2015			2014
Deferred income tax assets:
Receivable basis difference	$	47		$	59
Accrued liabilities	138			111
Share-based compensation	53			51
Loss and tax credit carryforwards	197			191
Deferred tax assets related to uncertain tax positions	100			84
Other	50			42
Total deferred income tax assets	585			538
Valuation allowance for deferred income tax assets	(87		)	(94		)
Net deferred income tax assets	$	498		$	444
Deferred income tax liabilities:
Inventory basis differences	$	(1,344	)	$	(1,164	)
Property-related	(155		)	(142		)
Goodwill and other intangibles	(352		)	(340		)
Other	(2		)	(7		)
Total deferred income tax liabilities	(1,853		)	(1,653		)
Net deferred income tax liability	$	(1,355	)	$	(1,209	)

Schedule of Deferred Tax Assets and Liabilities after Netting by Tax Jurisdiction

Deferred income tax assets and liabilities in the preceding table, after netting by taxing jurisdiction, are in the following captions in the consolidated balance sheets at June 30:

(in millions)	2015			2014
Current deferred income tax asset (1)	$	22		$	18
Noncurrent deferred income tax asset (2)	17			15
Current deferred income tax liability (3)	(1,066		)	(918		)
Noncurrent deferred income tax liability (4)	(328		)	(324		)
Net deferred income tax liability	$	(1,355	)	$	(1,209	)

(1) Included in prepaid expenses and other in the consolidated balance sheets.

(2) Included in other assets in the consolidated balance sheets.

(3) Included in other accrued liabilities in the consolidated balance sheets.

(4) Included in deferred income taxes and other liabilities in the consolidated balance sheets.

Schedule of Unrecognized Tax Benefits Roll Forward

The following table presents a reconciliation of the beginning and ending amounts of unrecognized tax benefits:

(in millions)	2015			2014			2013
Balance at beginning of fiscal year	$	510		$	650		$	654
Additions for tax positions of the current year	15			16			22
Additions for tax positions of prior years	69			94			97
Reductions for tax positions of prior years	(42		)	(40		)	(30		)
Settlements with tax authorities	(10		)	(210		)	(93		)
Balance at end of fiscal year	$	542		$	510		$	650