Quarterly report pursuant to Section 13 or 15(d)

Income Taxes

v3.23.2
Income Taxes
 6 Months Ended
Jul. 01, 2023
Income Tax Disclosure [Abstract]  
Income Taxes
Note 7 : Income Taxes
Three Months Ended Six Months Ended
(In Millions)
 Jul 1, 2023 Jul 2, 2022 Jul 1, 2023 Jul 2, 2022
Income (loss) before taxes $ (816) $ (909) $ (1,974) $ 8,752 
Provision for (benefit from) taxes $ (2,289) $ (455) $ (679) $ 1,093 
Effective tax rate
 280.5  % 50.1  % 34.4  % 12.5  %
Our provision for, or benefit from, income taxes for an interim period has historically been determined using an estimated annual effective tax rate, adjusted for discrete items, if any. Under certain circumstances where we are unable to make a reliable estimate of the annual effective tax rate, we use the actual effective tax rate for the year-to-date period. In the second quarter of 2023, we used this approach due to the variability of the rate as a result of fluctuations in forecasted income and the effects of being taxed in multiple tax jurisdictions.