Income Taxes (Tables)

12 Months Ended

Apr. 01, 2022

Income Tax Disclosure [Abstract]

Schedule of Components of income tax expense (benefit)

The components of our income (loss) from continuing operations before income taxes are as follows:

	Year Ended
(In millions)	April 1, 2022		April 2, 2021		April 3, 2020
Domestic	$	791	$	607	$	667
International	251		265		152
Income (loss) before income taxes	$	1,042	$	872	$	819

The components of income tax expense (benefit) from continuing operations are as follows:

	Year Ended
(In millions)	April 1, 2022		April 2, 2021		April 3, 2020
Current:
Federal	$	217	$	133	$	208
State	50		36		33
International	20		(13)		3
Total	287		156		244
Deferred:
Federal	(42)		(6)		(23)
State	(6)		(5)		3
International	(33)		31		17
Total	(81)		20		(3)
Income tax expense	$	206	$	176	$	241

Schedule of Difference Between Effective Income Tax and Federal Statutory Income Tax

The U.S. federal statutory income tax rates we have applied for fiscal 2022, 2021 and 2020 are as follows:

	Year Ended
	April 1, 2022		April 2, 2021		April 3, 2020
U.S. federal statutory income tax rate	21.0	%	21.0	%	21.0	%

The difference between our effective income tax and the federal statutory income tax is as follows:

	Year Ended
(In millions)	April 1, 2022		April 2, 2021		April 3, 2020
Federal statutory tax expense (benefit)	$	219	$	183	$	172
State taxes, net of federal benefit	33		25		22
Foreign earnings taxed at other than the federal rate	(47)		(10)		(2)
Federal research and development credit	(4)		(1)		(2)
Valuation allowance increase (decrease)	2		1		(57)
Change in uncertain tax positions	11		3		60
Stock-based compensation	7		5		5
Nondeductible goodwill	—		—		18
Favorable ruling on foreign withholding tax	—		(35)		—
US tax on foreign earnings	12		(15)		(4)
Return to provision adjustment	(8)		1		12
Other, net	—		2		17
Irish FX remeasurement	(19)		17		—
Income tax expense	$	206	$	176	$	241

Schedule of Principal Components of Deferred Tax Assets

The principal components of deferred tax assets and liabilities are as follows:

(In millions)	April 1, 2022		April 2, 2021
Deferred tax assets:
Tax credit carryforwards	$	7	$	2
Net operating loss carryforwards of acquired companies	16		23
Other accruals and reserves not currently tax deductible	84		54
Operating lease liabilities	28		29
Property and equipment	13		17
Intangible assets	123		103
Stock-based compensation	8		7
Other	54		36
Gross deferred tax assets	333		271
Valuation allowance	(11)		(7)
Deferred tax assets, net of valuation allowance	322		264
Deferred tax liabilities:
Operating lease assets	(21)		(25)
Goodwill	(6)		(1)
Deferred revenue	(2)		(1)
Unremitted earnings of foreign subsidiaries	(16)		(15)
Prepaids and deferred expenses	(1)		(2)
Discount on convertible debt	—		(2)
Deferred tax liabilities	(46)		(46)
Net deferred tax assets (liabilities)	$	276	$	218

Schedule of Changes in Unrecognized Tax Benefits

The aggregate changes in the balance of gross unrecognized tax benefits were as follows:

	Year Ended
(In millions)	April 1, 2022		April 2, 2021		April 3, 2020
Balance at beginning of year	$	548	$	724	$	446
Settlements with tax authorities	—		(37)		(5)
Lapse of statute of limitations	(34)		(34)		(15)
Increase related to prior period tax positions	16		13		77
Decrease related to prior period tax positions	(11)		(129)		(11)
Increase related to current year tax positions	8		11		232
Balance at end of year	$	527	$	548	$	724