v3.25.2
INCOME TAXES (Tables)
 12 Months Ended
May 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of Provision for Income Taxes
The components of the provision for income taxes for the years ended May 31 were as follows (in millions):
202520242023
Current provision
Domestic:
Federal$891 $1,184 $579 
State and local146 218 157 
Foreign359 265 209 
1,396 1,667 945 
Deferred provision
Domestic:
Federal(302)(82)369 
State and local20 60 37 
Foreign235 (140)40 
(47)(162)446 
Total Provision$1,349 $1,505 $1,391 
Schedule of Total Income Tax Expense and Amount Computed by Statutory Federal Income Tax Rate to Income Before Income Taxes
A reconciliation of total income tax expense and the amount computed by applying the statutory federal income tax to income before income taxes for the years ended May 31 is as follows (dollars in millions):
202520242023
Taxes computed at federal statutory rate$1,143 $1,226 $1,126 
Increases (decreases) in income tax from:
U.S. and foreign return-to-provision adjustments5 11 (44)
State and local income taxes, net of federal benefit137 177 152 
Foreign operations101 65 96 
Non-deductible expenses72 48 40 
Uncertain tax positions(5)(21)60 
Benefits from share-based payments(18)(26)(18)
Valuation allowance21 59 59 
Foreign tax rate enactments6 — 3 
State deferred tax remeasurement— 54 — 
Goodwill impairment charges— — 8 
Corporate structuring transactions(66)— — 
Other, net(47)(88)(91)
Provision for income taxes$1,349 $1,505 $1,391 
Effective Tax Rate24.8 %25.8 %25.9 %
Schedule of Deferred Tax Assets and Liabilities
The significant components of deferred tax assets and liabilities as of May 31 were as follows (in millions):
20252024
Deferred Tax
Assets		Deferred Tax
Liabilities		Deferred Tax
Assets		Deferred Tax
Liabilities
Property, equipment, leases, and intangibles$4,515 $10,434 $4,597 $10,815 
Employee benefits725 291 744 68 
Self-insurance accruals1,247 — 1,183 — 
Other591 42 561 140 
Net operating loss/credit carryforwards1,123 — 1,306 — 
Valuation allowances(523)— (537)— 
$7,678 $10,767 $7,854 $11,023 
Schedule of Net Deferred Tax Liabilities
The net deferred tax liabilities as of May 31 have been classified in the balance sheets as follows (in millions):
20252024
Noncurrent deferred tax assets(1)
$1,116 $1,313 
Noncurrent deferred tax liabilities(4,205)(4,482)
$(3,089)$(3,169)
(1)Noncurrent deferred tax assets are included within “Other Assets” in the accompanying consolidated balance sheets.
Schedule of Beginning and Ending Amount of Unrecognized Tax Benefits
A reconciliation of the beginning and ending amount of unrecognized tax benefits for the years ended May 31 is as follows (in millions):
202520242023
Balance at beginning of year$186 $212 $169 
Increases for tax positions taken in the current year31 5 3 
Increases for tax positions taken in prior years33 4 68 
Decreases for tax positions taken in prior years(11)(3)(7)
Settlements(87)(31)(15)
Changes due to currency translation3 (1)(6)
Balance at end of year$155 $186 $212