Income Taxes (Tables)

12 Months Ended

Jun. 30, 2022

Income Tax Disclosure [Abstract]

Income before income taxes

Income before income taxes was derived from the following sources:

	2022		2021		2020
United States	$	646,364	$	1,273,037	$	828,160
Foreign	967,862		973,920		678,694
	$	1,614,226	$	2,246,957	$	1,506,854

Income taxes

Income taxes include the following:

	2022		2021		2020
Federal
Current	$	297,672	$	247,094	$	105,796
Deferred	(253,123)		(52,960)		24,905
Foreign
Current	303,089		269,607		167,680
Deferred	(45,977)		8,851		(14,247)
State and local
Current	48,479		34,895		18,756
Deferred	(52,100)		(7,391)		1,632
	$	298,040	$	500,096	$	304,522

Effective income tax rate reconciliation to statutory federal rate

A reconciliation of the effective income tax rate to the statutory federal rate follows:

	2022		2021		2020
Statutory federal income tax rate	21.0	%	21.0	%	21.0	%
State and local income taxes	(0.2)		1.0		1.4
Tax related to international activities	2.7		3.6		1.8
Transition tax related to the TCJ Act	—		—		(0.7)
Cash surrender value of life insurance	0.5		(0.6)		(0.3)
Foreign derived intangible income deduction	(3.7)		(1.0)		(1.5)
Research tax credit	(0.8)		(0.4)		(0.6)
Share-based compensation	(1.3)		(1.6)		(1.5)
Other	0.3		0.3		0.6
Effective income tax rate	18.5	%	22.3	%	20.2	%

Differences comprising the net deferred taxes shown on consolidated balance sheet

The differences comprising the net deferred taxes shown on the Consolidated Balance Sheet at June 30 were as follows:

	2022		2021
Retirement benefits	$	207,147	$	322,931
Other liabilities and reserves	180,624		136,710
Long-term contracts	8,739		5,562
Stock-based compensation	31,490		30,165
Loss carryforwards	888,552		861,013
Unrealized currency exchange gains and losses	254,334		18,841
Inventory	14,649		(11,753)
Tax credit carryforwards	17,326		19,709
Undistributed foreign earnings	(21,822)		(21,722)
Depreciation and amortization	(875,623)		(945,422)
Valuation allowance	(901,875)		(865,764)
Net deferred tax (liability)	$	(196,459)	$	(449,730)
Change in net deferred tax (liability):
Provision for deferred tax	$	351,201	$	51,500
Items of other comprehensive (loss) income	(98,810)		(209,509)
Acquisitions and other	880		291
Total change in net deferred tax	$	253,271	$	(157,718)

Reconciliation of unrecognized tax benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

	2022		2021		2020
Balance July 1	$	100,759	$	86,277	$	140,662
Additions for tax positions related to current year	7,039		10,145		4,955
Additions for tax positions of prior years	1,415		10,320		798
Additions for acquisitions	—		2,376		43,532
Reductions for tax positions of prior years	(140)		(1,996)		(41,726)
Reductions for settlements	(3,127)		(7,165)		(53,520)
Reductions for expiration of statute of limitations	(6,647)		(2,252)		(3,820)
Effect of foreign currency translation	(8,630)		3,054		(4,604)
Balance June 30	$	90,669	$	100,759	$	86,277