Income Taxes (Tables)

12 Months Ended

Dec. 28, 2019

Schedule of Components of Income Tax Expense (Benefit)

Federal, state and foreign income tax expense (benefit) consists of the following:



(in thousands)	2019			2018			2017
Current:
Federal	$	(3,495	)	$	(3,193	)	$	34,060
State	834			119			450
Foreign	30,610			48,130			32,945
Subtotal	27,949			45,056			67,455
Deferred:
Federal and State	1,839			(3,896		)	16,562
Foreign	(2,986		)	(783		)	501
Subtotal	(1,147		)	(4,679		)	17,063
Provision for income taxes	$	26,802		$	40,377		$	84,518

Domestic and foreign income (loss) before income taxes is as follows:



(in thousands)	2019			2018			2017
Domestic	$	(11,970	)	$	(49,995	)	$	(20,496	)
Foreign	177,854			254,937			224,533
Income before income taxes	$	165,884		$	204,942		$	204,037

Schedule of Effective Income Tax Rate Reconciliation

A reconciliation between income taxes computed on income before income taxes at the federal statutory rate and the provision for income taxes is provided below:



(in thousands)	2019			2018			2017
Tax expense at statutory rate of 21% (35% for 2017)	$	34,836		$	43,038		$	71,413
Non-U.S. income tax rate differential	(22,457		)	(20,472		)	(47,077		)
Non-U.S. losses and expenses with no tax benefit	6,570			3,107			—
Net impact associated with the GILTI tax provisions	6,469			5,075			—
Tax on unremitted earnings	2,136			4,660			12,202
Certain changes in unrecognized tax benefits and related accrued interest	(1,468		)	208			914
State and local taxes, net of federal tax benefit	1,080			(1,238		)	292
Nondeductible professional fees	195			1,001			1,240
2017 Toll Charge (and 2018 adjustment)	—			2,278			49,000
Provisional Tax Act impact other than Toll Charge (and 2018 adjustment)	—			966			(1,962		)
Other, net	(559		)	1,754			(1,504		)
Provision for income taxes	$	26,802		$	40,377		$	84,518

Schedule of Deferred Tax Assets and Liabilities

Significant components of the company’s deferred tax assets and liabilities at December 28, 2019 and December 29, 2018, are as follows:



(in thousands)	2019			2018
Deferred tax assets:
Accrued expenses and reserves	$	28,294		$	34,113
Domestic and non-U.S. net operating loss carryforwards	10,511			8,613
Non-U.S. interest expense carryforwards	5,324			885
U.S. research credit carryforwards	2,581			1,245
Capitalized expenses	2,400			—
U.S. foreign tax credit carryforwards	1,320			1,506
Other	1,261			1,000
Gross deferred tax assets	51,691			47,362
Less: Valuation allowance	(5,957		)	(4,794		)
Total deferred tax assets	45,734			42,568

Deferred tax liabilities:
Excess of book basis over the tax basis of assets	74,460			74,410
Tax on unremitted earnings	12,968			12,681
Total deferred tax liabilities	87,428			87,091
Net deferred tax liabilities	$	41,694		$	44,523

Schedule of Unrecognized Tax Benefits Roll Forward

A reconciliation of the beginning and ending amount of unrecognized tax benefits as of December 28, 2019, December 29, 2018, and December 30, 2017 is as follows:



(in thousands)	Unrecognized Tax Benefits
Balance at December 30, 2017	$	7,660
Additions for tax positions taken in the current year	2,929
Additions for tax positions related to the pre-acquisition periods of acquired subsidiaries	9,394
Decreases due to a lapse in the statute of limitations	(1,257		)
Other	(467		)
Balance at December 29, 2018	18,259
Additions for tax positions taken in the current year	1,305
Decreases due to a lapse in the statute of limitations	(2,758		)
Other	(85		)
Balance at December 28, 2019	16,721