Income Taxes Income Taxes (Tables)

12 Months Ended

Dec. 30, 2023

Schedule of Income before Income Tax, Domestic and Foreign

U.S. and foreign income before income taxes are as follows (in thousands):


	December 30, 2023		December 31, 2022		January 1, 2022
United States	$	399,378	$	551,521	$	545,861
Foreign	320,579		342,197		275,535
Income before income taxes	$	719,957	$	893,718	$	821,396

Schedule of Components of Income Tax Expense (Benefit)

Income tax expense attributable to income before income taxes consists of the following (in thousands):


	December 30, 2023		December 31, 2022		January 1, 2022
Current:
Federal	$	1,574	$	(206)	$	(31)
State	1,336		2,288		8,442
Foreign	104,997		105,368		60,730
Total current	107,907		107,450		69,141
Deferred:
Federal	(22,868)		35,290		66,883
State	(28,511)		18,150		19,495
Foreign	3,040		(14,264)		8,587
Total deferred	(48,339)		39,176		94,965
	$	59,568	$	146,626	$	164,106

A reconciliation of the beginning and ending amounts of unrecognized tax benefits is as follows (in thousands):


	December 30, 2023		December 31, 2022
Balance at beginning of Year	$	17,842	$	10,508
Change in tax positions related to current year	(1,883)		7,904
Change in tax positions related to prior years	(1,986)		(38)
Change in tax positions due to settlement with tax authorities	—		—
Expiration of the Statute of Limitations	(101)		(532)
Balance at end of year	$	13,872	$	17,842

Schedule of Effective Income Tax Rate Reconciliation

Income tax expense for the years ended December 30, 2023, December 31, 2022 and January 1, 2022, differed from the amount computed by applying the statutory U.S. federal income tax rate to income before income taxes as a result of the following (in thousands):


	December 30, 2023		December 31, 2022		January 1, 2022
Computed "expected" tax expense	$	151,191	$	187,681	$	172,493

Change in valuation allowance	27,713		(3,241)		(4,996)
Non-deductible compensation expenses	5,779		5,320		4,324
Deferred tax on unremitted foreign earnings	3,686		4,939		3,415

Foreign rate differential	16,607		17,628		14,748
Change in uncertain tax positions	(3,477)		8,167		6,809
State income taxes, net of federal benefit	(20,868)		10,738		18,205
Biofuel tax incentives	(125,006)		(77,189)		(38,778)
Global intangible low taxed income	14,943		5,745		1,549
Change in tax law	(5,890)		(13)		1,869

Equity compensation windfall	(2,241)		(13,441)		(11,046)
Other, net	(2,869)		292		(4,486)
	$	59,568	$	146,626	$	164,106

Schedule of Deferred Tax Assets and Liabilities

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at December 30, 2023 and December 31, 2022 are presented below (in thousands):


	December 30, 2023		December 31, 2022
Deferred tax assets:
Loss contingency reserves	$	15,247	$	11,775
Employee benefits	15,466		14,480
Pension liability	3,193		3,505

Interest expense carryforwards	53,591		28,769
Tax loss carryforwards	291,910		275,675
Tax credit carryforwards	2,051		2,432
Operating lease liabilities	57,503		53,765
Inventory	17,013		15,002
Accrued liabilities and other	23,090		18,408
Total gross deferred tax assets	479,064		423,811
Less valuation allowance	(40,063)		(12,788)
Net deferred tax assets	439,001		411,023

Deferred tax liabilities:
Intangible assets amortization, including taxable goodwill	(248,146)		(238,347)
Property, plant and equipment depreciation	(242,666)		(218,316)
Investment in DGD Joint Venture	(324,583)		(344,633)
Operating lease assets	(56,098)		(52,330)
Tax on unremitted foreign earnings	(18,139)		(12,890)
Other	(29,832)		(8,451)
Total gross deferred tax liabilities	(919,464)		(874,967)
Net deferred tax liability	$	(480,463)	$	(463,944)

Amounts reported on Consolidated Balance Sheets:
Non-current deferred tax asset	$	17,711	$	17,888
Non-current deferred tax liability	(498,174)		(481,832)
Net deferred tax liability	$	(480,463)	$	(463,944)