Income Taxes (Tables)

12 Months Ended

Dec. 31, 2023

Income Tax Disclosure [Abstract]

Schedule of Components of Income Tax Expense (Benefit)

The following table presents the components of income tax expense (benefit) for the periods indicated:

	Years Ended December 31,
(In millions)	2023		2022		2021
Current:
Federal	$	160	$	161	$	172
State	79		112		142
Non-U.S.	317		342		326
Total current expense	556		615		640
Deferred:
Federal	(77)		(16)		(98)
State	(63)		(2)		(61)
Non-U.S.	(44)		(44)		(3)
Total deferred expense (benefit)	(184)		(62)		(162)
Total income tax expense (benefit)	$	372	$	553	$	478

Schedule of Effective Income Tax Rate Reconciliation

The following table presents a reconciliation of the U.S. statutory income tax rate to our effective tax rate based on income before income tax expense for the periods indicated:

	Years Ended December 31,
	2023		2022		2021
U.S. federal income tax rate	21.0	%	21.0	%	21.0	%
Changes from statutory rate:
State taxes, net of federal benefit	2.4		3.1		2.2
Tax-exempt income	(1.5)		(1.0)		(1.1)
Business tax credits(1)	(3.6)		(4.0)		(4.1)
Foreign tax differential	(0.6)		—		0.1
Foreign tax credit (benefits)/ limitations(2)	(2.0)		(0.1)		(1.9)
Change in Valuation Allowance	(0.2)		(2.0)		—
Other, net	0.6		(0.4)		(1.1)
Effective tax rate	16.1	%	16.6	%	15.1	%

(1) Business tax credits include research, low-income housing, production and investment tax credits.

(2) Foreign tax credit (benefits)/limitations includes the period expense for global intangible low-taxed income (GILTI).

Schedule of Deferred Tax Assets and Liabilities

The following table presents significant components of our gross deferred tax assets and gross deferred tax liabilities as of the dates indicated:

	December 31,
(In millions)	2023		2022
Deferred tax assets:
Other amortizable assets	$	265	$	267
Tax credit carryforwards	673		530
Lease obligations	236		198
Deferred compensation	104		127
Restructuring charges and other reserves	224		118
NOL and other carryforwards	167		152
Pension plan	24		18
Foreign currency translation	51		74
Unrealized losses on investment securities, net	352		750
Total deferred tax assets	2,096		2,234
Valuation allowance for deferred tax assets	(200)		(160)
Deferred tax assets, net of valuation allowance	$	1,896	$	2,074
Deferred tax liabilities:
Fixed and intangible assets	$	574	$	597
Investment basis differences	40		188
Right-of-use Assets	214		163
Other	68		21
Total deferred tax liabilities	$	896	$	969

Summary of Valuation Allowance

The table below summarizes the deferred tax assets, carryforwards and related valuation allowances recognized as of December 31, 2023:

(In millions)	Deferred Tax Asset		Valuation Allowance		Expiration
Other amortizable assets	$	265	$	(104)	None, 2024
Tax credits	673		—		2041-2043
NOLs - Non-U.S.	144		(76)		2026-2042, None
NOLs - U.S.	20		(17)		2024-2042, None
Other carryforwards	3		(3)		None

Summary of Income Tax Contingencies

The following table presents activity related to unrecognized tax benefits as of the dates indicated:

	December 31,
(In millions)	2023		2022		2021
Beginning balance	$	285	$	252	$	308
Decrease related to agreements with tax authorities	(32)		(4)		(130)
Increase related to tax positions taken during current year	39		48		50
Increase/(Decrease) related to tax positions taken during prior years	(34)		8		42
Decreases related to a lapse of the applicable statute of limitations	(21)		(19)		(18)
Ending balance	$	237	$	285	$	252