Rendering
Component: (Network and Table) |
---|
Network | 2314301 - Disclosure - Income Taxes (Tables) (http://www.brown-forman.com/role/IncomeTaxesTables) |
Table | (Implied) |
Slicers (applies to each fact value in each table cell)
Reporting Entity [Axis] | 0000014693 (http://www.sec.gov/CIK) |
Income Tax Disclosure [Abstract] | Period [Axis] |
---|
2015-05-01 - 2016-04-30 |
---|
Income Tax Disclosure [Abstract] | |
Domestic and Foreign income before Income taxes | The following table, based on the locations of the taxable entities from which sales were derived (rather than the location of customers), presents the U.S. and foreign components of our income before income taxes: | | | | | | | | | | | | | | 2014 | | 2015 | | 2016 | United States | $ | 797 |
| | $ | 912 |
| | $ | 1,184 |
| Foreign | 150 |
| | 90 |
| | 305 |
| | $ | 947 |
| | $ | 1,002 |
| | $ | 1,489 |
|
|
Deferred tax assets and liabilities | Deferred tax assets and liabilities as of the end of each of the last two years were as follows: | | | | | | | | | | 2015 | | 2016 | April 30, | | | | Deferred tax assets: | | | | Postretirement and other benefits | $ | 164 |
| | $ | 183 |
| Accrued liabilities and other | 22 |
| | 10 |
| Inventories | 12 |
| | 26 |
| Loss and credit carryforwards | 46 |
| | 39 |
| Valuation allowance | (27 | ) | | (25 | ) | Total deferred tax assets, net | 217 |
| | 233 |
| Deferred tax liabilities: | | | | Intangible assets | (207 | ) | | (225 | ) | Property, plant, and equipment | (61 | ) | | (83 | ) | Other | (31 | ) | | (9 | ) | Total deferred tax liabilities | (299 | ) | | (317 | ) | Net deferred tax liability | $ | (82 | ) | | $ | (84 | ) |
|
Total income tax expense | Our total income tax expense for each of the last three years was as follows: | | | | | | | | | | | | | | 2014 | | 2015 | | 2016 | Current: | | | | | | U.S. federal | $ | 243 |
| | $ | 259 |
| | $ | 347 |
| Foreign | 49 |
| | 42 |
| | 47 |
| State and local | 1 |
| | 11 |
| | 18 |
| | 293 |
| | 312 |
| | 412 |
| Deferred: | | | | | | U.S. federal | $ | 3 |
| | $ | 15 |
| | $ | 24 |
| Foreign | (6 | ) | | (11 | ) | | (17 | ) | State and local | (2 | ) | | 2 |
| | 3 |
| | (5 | ) | | 6 |
| | 10 |
| | $ | 288 |
| | $ | 318 |
| | $ | 422 |
|
|
Reconciles our effective tax rate to the federal statutory tax rate in the United States | The following table reconciles our effective tax rate to the federal statutory tax rate in the United States: | | | | | | | | | | | Percent of Income Before Taxes | | 2014 | | 2015 | | 2016 | U.S. federal statutory rate | 35.0 | % | | 35.0 | % | | 35.0 | % | State taxes, net of U.S. federal tax benefit | 0.7 | % | | 1.0 | % | | 1.0 | % | Income taxed at other than U.S. federal statutory rate | (2.2 | )% | | (0.5 | )% | | (2.5 | )% | Tax benefit from U.S. manufacturing | (2.8 | )% | | (2.5 | )% | | (2.4 | )% | Tax impact of sale of business | — | % | | — | % | | (1.1 | )% | Amortization of deferred tax benefit from intercompany transactions | (0.4 | )% | | (1.6 | )% | | (1.6 | )% | Other, net | 0.2 | % | | 0.3 | % | | (0.1 | )% | Effective rate | 30.5 | % | | 31.7 | % | | 28.3 | % |
|
Reconciliation of ending and beginning unrecognized tax benefits | A reconciliation of the beginning and ending unrecognized tax benefits follows: | | | | | | | | | | | | | | 2014 | | 2015 | | 2016 | Unrecognized tax benefits at beginning of year | $ | 11 |
| | $ | 11 |
| | $ | 13 |
| Additions for tax positions provided in prior periods | 1 |
| | 2 |
| | 1 |
| Additions for tax positions provided in current period | 1 |
| | 1 |
| | — |
| Decreases for tax positions provided in prior years | (1 | ) | | (1 | ) | | (4 | ) | Settlements of tax positions in the current period | (1 | ) | | — |
| | (1 | ) | Lapse of statutes of limitations | — |
| | — |
| | — |
| Unrecognized tax benefits at end of year | $ | 11 |
| | $ | 13 |
| | $ | 9 |
|
|