Income Taxes (Tables)
|
12 Months Ended |
Dec. 28, 2019 |
|---|
| Income Tax Disclosure [Abstract] |
|
| Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] |
Income before taxes and the provision for taxes consisted of the following:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Years Ended (In Millions) |
|
Dec 28,
2019 |
|
Dec 29,
2018 |
|
Dec 30,
2017 |
Income before taxes: |
|
|
|
|
|
|
U.S. |
|
$ |
13,729 |
|
|
$ |
14,753 |
|
|
$ |
11,141 |
|
Non-U.S. |
|
10,329 |
|
|
8,564 |
|
|
9,211 |
|
Total income before taxes |
|
24,058 |
|
|
23,317 |
|
|
20,352 |
|
Provision for taxes: |
|
|
|
|
|
|
Current: |
|
|
|
|
|
|
Federal |
|
1,391 |
|
|
2,786 |
|
|
8,307 |
|
State |
|
37 |
|
|
(11 |
) |
|
27 |
|
Non-U.S. |
|
1,060 |
|
|
1,097 |
|
|
899 |
|
Total current provision for taxes |
|
2,488 |
|
|
3,872 |
|
|
9,233 |
|
Deferred: |
|
|
|
|
|
|
Federal |
|
597 |
|
|
(1,389 |
) |
|
1,680 |
|
Other |
|
(75 |
) |
|
(219 |
) |
|
(162 |
) |
Total deferred provision for taxes |
|
522 |
|
|
(1,608 |
) |
|
1,518 |
|
Total provision for taxes |
|
$ |
3,010 |
|
|
$ |
2,264 |
|
|
$ |
10,751 |
|
Effective tax rate |
|
12.5 |
% |
|
9.7 |
% |
|
52.8 |
% |
|
| Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block] |
Income before taxes and the provision for taxes consisted of the following:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Years Ended (In Millions) |
|
Dec 28,
2019 |
|
Dec 29,
2018 |
|
Dec 30,
2017 |
Income before taxes: |
|
|
|
|
|
|
U.S. |
|
$ |
13,729 |
|
|
$ |
14,753 |
|
|
$ |
11,141 |
|
Non-U.S. |
|
10,329 |
|
|
8,564 |
|
|
9,211 |
|
Total income before taxes |
|
24,058 |
|
|
23,317 |
|
|
20,352 |
|
Provision for taxes: |
|
|
|
|
|
|
Current: |
|
|
|
|
|
|
Federal |
|
1,391 |
|
|
2,786 |
|
|
8,307 |
|
State |
|
37 |
|
|
(11 |
) |
|
27 |
|
Non-U.S. |
|
1,060 |
|
|
1,097 |
|
|
899 |
|
Total current provision for taxes |
|
2,488 |
|
|
3,872 |
|
|
9,233 |
|
Deferred: |
|
|
|
|
|
|
Federal |
|
597 |
|
|
(1,389 |
) |
|
1,680 |
|
Other |
|
(75 |
) |
|
(219 |
) |
|
(162 |
) |
Total deferred provision for taxes |
|
522 |
|
|
(1,608 |
) |
|
1,518 |
|
Total provision for taxes |
|
$ |
3,010 |
|
|
$ |
2,264 |
|
|
$ |
10,751 |
|
Effective tax rate |
|
12.5 |
% |
|
9.7 |
% |
|
52.8 |
% |
|
| Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] |
The difference between the tax provision at the statutory federal income tax rate and the tax provision as a percentage of income before income taxes (effective tax rate) for each period was as follows:
|
|
|
|
|
|
|
|
|
|
|
Years Ended |
|
Dec 28,
2019 |
|
Dec 29,
2018 |
|
Dec 30,
2017 |
Statutory federal income tax rate |
|
21.0 |
% |
|
21.0 |
% |
|
35.0 |
% |
Increase (reduction) in rate resulting from: |
|
|
|
|
|
|
Non-U.S. income taxed at different rates |
|
(3.7 |
) |
|
(3.6 |
) |
|
(7.6 |
) |
Research and development tax credits |
|
(2.3 |
) |
|
(2.7 |
) |
|
(2.3 |
) |
Domestic manufacturing deduction benefit |
|
— |
|
|
— |
|
|
(1.3 |
) |
Foreign derived intangible income benefit |
|
(3.2 |
) |
|
(3.7 |
) |
|
— |
|
Tax Reform |
|
— |
|
|
(1.3 |
) |
|
26.8 |
|
ISecG divestiture |
|
— |
|
|
— |
|
|
3.3 |
|
Other |
|
0.7 |
|
|
(0.1 |
) |
|
(1.1 |
) |
Effective tax rate |
|
12.5 |
% |
|
9.7 |
% |
|
52.8 |
% |
|
| 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 28,
2019 |
|
Dec 29,
2018 |
Deferred tax assets: |
|
|
|
|
Accrued compensation and other benefits |
|
$ |
740 |
|
|
$ |
570 |
|
Share-based compensation |
|
294 |
|
|
273 |
|
Inventory |
|
760 |
|
|
517 |
|
State credits and net operating losses |
|
1,511 |
|
|
1,297 |
|
Other, net |
|
515 |
|
|
512 |
|
Gross deferred tax assets |
|
3,820 |
|
|
3,169 |
|
Valuation allowance |
|
(1,534 |
) |
|
(1,302 |
) |
Total deferred tax assets |
|
2,286 |
|
|
1,867 |
|
Deferred tax liabilities: |
|
|
|
|
Property, plant and equipment |
|
(1,807 |
) |
|
(878 |
) |
Licenses and intangibles |
|
(720 |
) |
|
(744 |
) |
Convertible debt |
|
(88 |
) |
|
(204 |
) |
Unrealized gains on investments and derivatives |
|
(292 |
) |
|
(266 |
) |
Other, net |
|
(214 |
) |
|
(318 |
) |
Total deferred tax liabilities |
|
(3,121 |
) |
|
(2,410 |
) |
Net deferred tax assets (liabilities) |
|
$ |
(835 |
) |
|
$ |
(543 |
) |
|
|
|
|
|
Reported as: |
|
|
|
|
Deferred tax assets |
|
1,209 |
|
|
1,122 |
|
Deferred tax liabilities |
|
(2,044 |
) |
|
(1,665 |
) |
Net deferred tax assets (liabilities) |
|
$ |
(835 |
) |
|
$ |
(543 |
) |
|
| Summary of Valuation Allowance [Table Text Block] |
Change in valuation allowance for deferred tax assets were as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Years Ended (In Millions) |
|
Balance at Beginning of Year |
|
Additions Charged to Expenses/
Other Accounts
|
|
Net
(Deductions)
Recoveries
|
|
Balance at
End of Year
|
Valuation allowance for deferred tax assets |
|
|
|
|
|
|
|
|
December 28, 2019 |
|
$ |
1,302 |
|
|
$ |
239 |
|
|
$ |
(7 |
) |
|
$ |
1,534 |
|
December 29, 2018 |
|
$ |
1,171 |
|
|
$ |
185 |
|
|
$ |
(54 |
) |
|
$ |
1,302 |
|
December 30, 2017 |
|
$ |
953 |
|
|
$ |
237 |
|
|
$ |
(19 |
) |
|
$ |
1,171 |
|
|