Intel Corporation Annual report [Section 13 and 15(d), not S-K Item 405]

Annual report [Section 13 and 15(d), not S-K Item 405]

Income Taxes (Tables)

Income Taxes (Tables)

12 Months Ended

Dec. 27, 2025

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]


Years Ended ($ In Millions)	Dec 27, 2025			Dec 28, 2024			Dec 30, 2023
Income (losses) before taxes:
U.S.	$	(3,231)		$	(13,450)		$	(4,749)
Non-U.S.	4,788			2,241			5,511
Total income before taxes	$	1,557		$	(11,210)		$	762
Provision for (benefit from) taxes:
Current:
Federal	$	310		$	600		$	538
State	(18)			(8)			23
Non-U.S.	910			1,364			535
Total current provision for (benefit from) taxes	1,202			1,956			1,096
Deferred:
Federal	245			6,192			(2,048)
State	(11)			67			(21)
Non-U.S.	95			(192)			60
Total deferred provision for (benefit from) taxes	329			6,067			(2,009)
Total provision for (benefit from) taxes	$	1,531		$	8,023		$	(913)
Effective tax rate	98.3		%	71.6		%	(119.8)		%

Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block]


Years Ended ($ In Millions)	Dec 27, 2025			Dec 28, 2024			Dec 30, 2023
Income (losses) before taxes:
U.S.	$	(3,231)		$	(13,450)		$	(4,749)
Non-U.S.	4,788			2,241			5,511
Total income before taxes	$	1,557		$	(11,210)		$	762
Provision for (benefit from) taxes:
Current:
Federal	$	310		$	600		$	538
State	(18)			(8)			23
Non-U.S.	910			1,364			535
Total current provision for (benefit from) taxes	1,202			1,956			1,096
Deferred:
Federal	245			6,192			(2,048)
State	(11)			67			(21)
Non-U.S.	95			(192)			60
Total deferred provision for (benefit from) taxes	329			6,067			(2,009)
Total provision for (benefit from) taxes	$	1,531		$	8,023		$	(913)
Effective tax rate	98.3		%	71.6		%	(119.8)		%

Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]

The following table presents required disclosure pursuant to ASU 2023-09 and reconciles the U.S. federal statutory tax amount and rate to our actual global effective amount and rate for the year ended December 27, 2025:


	Dec 27, 2025
Year Ended ($ In Millions)	Amount		Percent
U.S. federal statutory tax	$	327	21.0	%
State and local income tax, net of federal income tax effect	(23)		(1.5)	%
Foreign tax effects:
China:
Withholding tax	314		20.2	%
Other adjustments	(51)		(3.3)	%
Other foreign jurisdictions	(205)		(13.2)	%
Effects of cross-border tax laws:
Subpart F income inclusion	248		15.9	%
Foreign tax credit	(707)		(45.4)	%
Other	145		9.3	%
Tax credits:
Research and development credit	(977)		(62.7)	%
Changes in valuation allowances	2,629		168.9	%
Nontaxable or nondeductible items:
Share-based compensation	120		7.7	%
Altera divestiture and deconsolidation	(1,357)		(87.2)	%
Mark to market on equity securities	377		24.2	%
Other	97		6.2	%
Changes in unrecognized tax benefits	334		21.5	%
Other adjustments	260		16.7	%
Global effective tax	$	1,531	98.3	%

The following table presents the required disclosures prior to our adoption of ASU 2023-09 and reconciles the U.S. federal statutory income tax rate to the actual global effective income tax rate for the years ended December 28, 2024 and December 30, 2023:


Years Ended	Dec 28, 2024		Dec 30, 2023
Expected provision (benefit) at statutory federal income tax rate	(21.0)	%	21.0	%
Increase (reduction) in rate resulting from:
Federal valuation allowance	93.2		—
Goodwill impairment	2.1		—
Share-based compensation	4.2		34.3
Unrecognized tax benefits and settlements	1.3		16.3
Non-U.S. income taxed at different rates	(5.3)		(60.6)
Research and development tax credits	(5.6)		(99.0)
Foreign derived intangible income benefit	—		(25.1)
Restructuring of certain non-U.S. subsidiaries	—		(15.8)
Non-deductibility of European Commission fine	—		11.1

Other	2.7		(2.0)
Effective tax rate	71.6	%	(119.8)	%

Schedule of Deferred Tax Assets and Liabilities [Table Text Block]

Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts for income tax purposes. Significant components of our deferred tax assets and liabilities at the end of each period were as follows:


(In Millions)	Dec 27, 2025		Dec 28, 2024
Deferred tax assets:
R&D expenditures capitalization	$	12,203	$	10,709
State credits and net operating losses	3,165		2,830
Inventory	628		1,054
Accrued compensation and other benefits	921		970
Share-based compensation	481		444
Litigation charge	320		447
Other, net	1,547		1,510
Gross deferred tax assets	19,265		17,964
Valuation allowance	(16,402)		(13,974)
Total deferred tax assets	2,863		3,990
Deferred tax liabilities:
Property, plant and equipment	(3,294)		(4,063)
Licenses and intangibles	(466)		(159)

Unrealized gains on investments and derivatives	(168)		(224)

Other, net	(51)		(403)
Total deferred tax liabilities	(3,979)		(4,849)
Net deferred tax assets (liabilities)	$	(1,116)	$	(859)

Reported as:
Deferred tax assets	$	570	$	603
Deferred tax liabilities	(1,686)		(1,462)
Net deferred tax assets (liabilities)	$	(1,116)	$	(859)

Summary of Valuation Allowance [Table Text Block]

Changes in the valuation allowance for deferred tax assets were as follows:


Years Ended (In Millions)	Dec 27, 2025		Dec 28, 2024		Dec 30, 2023




Balance at Beginning of Year	$	13,974	$	3,047	$	2,586
Additions charged to expenses/other accounts	2,428		10,927		461
(Deductions) recoveries, net	—		—		—
Balance at End of Year	$	16,402	$	13,974	$	3,047

Schedule of Unrecognized Tax Benefits Roll Forward [Table Text Block]

Uncertain Tax Positions


Years Ended (In Millions)	Dec 27, 2025		Dec 28, 2024		Dec 30, 2023
Beginning gross unrecognized tax benefits	$	1,130	$	1,124	$	1,229
Settlements and effective settlements with tax authorities	(52)		(59)		(288)

Changes in balances related to tax position taken during prior periods	201		(8)		—

Changes in balances related to tax position taken during current period	105		73		183
Ending gross unrecognized tax benefits	$	1,384	$	1,130	$	1,124

Schedule of Cash Flow, Supplemental Disclosures [Table Text Block]

We adopted ASU 2023-09 on a prospective basis for the year ended December 27, 2025 and have included the following table as a result of our adoption, which presents income taxes paid (net of refunds received) for the year ended December 27, 2025:


Year Ended (In Millions)	Dec 27, 2025

Federal taxes	$	1,393
State taxes	(7)
Foreign taxes:
China	276
Israel	197
Other foreign jurisdictions	440
Total cash taxes paid	$	2,299

Below is a summary of income taxes paid for the years ended December 28, 2024 and December 30, 2023:


Years Ended (In Millions)	Dec 28, 2024		Dec 30, 2023
Cash paid during the year for:
Income taxes, net of refunds	$	2,202	$	2,621