Income Taxes (Tables)

12 Months Ended

Dec. 31, 2021

Income Tax Disclosure [Abstract]

Schedule of earnings before income taxes

Earnings before income taxes were as follows:

(in thousands)	For the Years Ended December 31,
	2021		2020		2019
Domestic	$	689,994	$	483,694	$	377,964
International	212,660		178,291		144,254
	$	902,654	$	661,985	$	522,218

Schedule of components of provision (benefit) for income taxes

The provision (benefit) for income taxes comprised the following:

(in thousands)	For the Years Ended December 31,
	2021		2020		2019
Current
Federal	$	112,811	$	72,921	$	52,194
State	19,147		17,346		11,967
International	29,288		26,301		24,239
	161,246		116,568		88,400
Deferred
Federal	(7,019)		(14,126)		4,826
State	(503)		(2,863)		269
International	4,086		(19,725)		931
	(3,436)		(36,714)		6,026
	$	157,810	$	79,854	$	94,426

Schedule of effective income tax rate reconciliation

The provision for income taxes differs from the amounts computed by applying the statutory federal income tax rate as follows:

	For the Years Ended December 31,
	2021		2020		2019
U.S. federal statutory rate	21.0	%	21.0	%	21.0	%
State income tax, net of federal tax benefit	2.1		2.4		2.3
Taxation on international earnings	(0.8)		(1.0)		(1.1)
Foreign derived intangible income	(1.2)		(1.1)		(1.1)
Share-based compensation from settlements	(3.6)		(5.9)		(3.6)
Research and development credit	(0.7)		(0.8)		(0.8)
Impact of Switzerland tax reform	—		(3.3)		—
Other, net	0.7		0.8		1.4
Effective tax rate	17.5	%	12.1	%	18.1	%

Schedule of components of net deferred tax assets and liabilities

The components of the net deferred tax assets (liabilities) included in the accompanying consolidated balance sheets are as follows:

(in thousands)	December 31, 2021		December 31, 2020
Assets
Accrued expenses	$	48,433	$	46,830
Accounts receivable reserves	2,131		2,505
Deferred revenue	6,269		7,629
Inventory basis differences	6,553		4,272
Property-based differences	16,132		14,865
Intangible asset basis differences	46,606		51,319
Share-based compensation	10,740		10,011
Other	1,163		1,484
Net operating loss carryforwards	8,570		5,427
Tax credit carryforwards	13,483		13,385
Unrealized losses on foreign currency exchange contracts and investments	1,755		5,060
Total assets	161,835		162,787
Valuation allowance	(39,280)		(40,262)
Total assets, net of valuation allowance	122,555		122,525
Liabilities
Customer acquisition costs	(37,265)		(34,449)
Property-based differences	(42,363)		(49,547)
Intangible asset basis differences	(17,345)		(16,134)
Other	(5,662)		(2,241)
Unrealized gains on foreign currency exchange contracts and investments	(4,071)		(312)
Total liabilities	(106,706)		(102,683)
Net deferred tax assets	$	15,849	$	19,842

Summary of valuation allowance

The following table summarizes the changes in valuation allowance for deferred tax assets:

(in thousands)	For the Years Ended December 31,
	2021		2020		2019
Balance at beginning of year	$	40,262	$	9,454	$	6,212
Charges to costs and expense	1,464		31,076		3,489
Write-off/cash payments	(1,182)		(34)		(226)
Foreign currency translation	(1,264)		(234)		(21)
Balance at the end of the year	$	39,280	$	40,262	$	9,454

Schedule of changes in unrecognized tax benefits

The following table summarizes the changes in unrecognized tax positions:

(in thousands)	For the Years Ended December 31,
	2021		2020		2019
Total amounts of unrecognized tax benefits, beginning of period	$	22,484	$	26,841	$	24,247
Gross increases (decreases) in unrecognized tax positions as a result of tax positions taken during a prior period	443		(1,755)		(276)
Gross increases in unrecognized tax positions as a result of tax positions taken in the current period	2,414		4,199		4,083
Decreases in unrecognized tax positions related to settlements with taxing authorities	(537)		(6,446)		—
Decreases in unrecognized tax positions as a result of a lapse of the applicable statutes of limitations	(3,015)		(355)		(1,213)
Total amounts of unrecognized tax benefits, end of period	$	21,789	$	22,484	$	26,841