v3.25.4
Income Taxes (Tables)
 12 Months Ended
Jan. 31, 2026
Income Tax Disclosure [Abstract]  
Domestic and Foreign Components of Income Before Provision For (Benefit From) Income Taxes
The domestic and foreign components of income before provision for (benefit from) income taxes consisted of the following (in millions):
 Fiscal Year Ended January 31,
 202620252024
Domestic$6,627 $5,119 $4,045 
Foreign2,893 2,319 905 
$9,520 $7,438 $4,950 
Schedule of Income Taxes Provision (Benefit)
The provision for (benefit from) income taxes consisted of the following (in millions):
 Fiscal Year Ended January 31,
 202620252024
Current:
Federal$413 $1,284 $940 
State72 245 199 
Foreign619 925 417 
Total1,104 2,454 1,556 
Deferred:
Federal618 (982)(640)
State121 (167)(182)
Foreign220 (64)80 
Total959 (1,213)(742)
Provision for (benefit from) income taxes$2,063 $1,241 $814 
Reconciliation of Statutory Federal Income Tax Rate
A reconciliation of income taxes at the statutory federal income tax rate to the provision for (benefit from) income taxes included in the accompanying consolidated statements of operations is as follows (in millions):
 Fiscal Year Ended January 31,
 202620252024
U.S. federal statutory rate$1,999 21.0 %$1,562 21.0 %$1,040 21.0 %
State and local income taxes, net of federal effects (1) 114 1.2 50 0.7 (25)(0.5)
Foreign tax effects:
Ireland
Statutory rate difference between Ireland and U.S.(197)(2.1)(132)(1.8)(82)(1.7)
Other(24)(0.3)4 0.1 6 0.1 
Israel
Effects of reorganization of operations and assets--90 1.2 137 2.8 
Other--19 0.3 (15)(0.3)
Other foreign jurisdictions463 4.9 233 3.1 264 5.3 
Effect of cross-border tax laws:
Global intangible low taxed income, net of foreign tax credit 152 1.6 168 2.3 120 2.4 
Foreign-derived intangible income deduction (2)(188)(2.0)(441)(5.9)(127)(2.6)
Other foreign tax credits (3)(160)(1.7)(46)(0.6)(227)(4.6)
Other28 0.3 (13)(0.2)16 0.3 
Tax Credits
Research and development tax credits(368)(3.9)(295)(4.0)(312)(6.3)
Changes in valuation allowance70 0.7 (7)(0.1)86 1.7 
Nontaxable or Nondeductible items
Effects of reorganization of operations and assets--(94)(1.3)(105)(2.1)
Share-based payment awards4 0.0 (174)(2.3)(26)(0.5)
Other30 0.3 (7)(0.1)3 0.1 
Changes in unrecognized tax benefits151 1.6 337 4.5 67 1.4 
Other adjustments(11)(0.1)(13)(0.2)(6)(0.1)
Provision for (benefit from) income taxes$2,063 21.5 %$1,241 16.7 %$814 16.4 %

(1) The tax effect in this category primarily reflects state and local taxes in California, Virginia, Illinois, New York, New York City, Pennsylvania, Texas, and Minnesota.
(2) Fiscal 2025 foreign-derived intangible income deduction included tax benefits related to an adjustment for fiscal 2023 and 2024.
(3) Fiscal 2024 foreign tax credits included tax benefits attributable to IRS notices.
Summary of Income Taxes Paid
Income taxes paid, net of refunds, were as follows (in millions):
 Fiscal Year Ended January 31,
 202620252024
Federal$658 $1,091 $417 
State132 276 233 
Foreign
Ireland92 139 -
Israel-287 129 
Other400 268 248 
$1,282 $2,061 $1,027 
Significant Components of Deferred Tax Assets And Liabilities
Significant components of the Company’s deferred tax assets and liabilities were as follows (in millions):
 As of January 31,
 20262025
Deferred tax assets:
Losses and deductions carryforward$200 $209 
Deferred stock-based compensation expense260 237 
Tax credits906 769 
Accrued liabilities494 482 
Intangible assets1,541 1,694 
Lease liabilities685 740 
Unearned revenue124 (28)
Capitalized research & development1,944 2,431 
Other17 65 
Total deferred tax assets6,171 6,599 
Less valuation allowance(967)(786)
Deferred tax assets, net of valuation allowance5,204 5,813 
Deferred tax liabilities:
Capitalized costs to obtain revenue contracts(912)(850)
Purchased intangible assets(1,173)(650)
Depreciation and amortization(193)(164)
Basis difference on strategic and other investments(347)(106)
Lease right-of-use assets(519)(554)
Total deferred tax liabilities(3,144)(2,324)
Net deferred tax assets (liabilities)$2,060 $3,489 
Schedule of Unrecognized Tax Benefits Roll Forward
A reconciliation of the beginning and ending balance of total unrecognized tax benefits for fiscal years 2026, 2025 and 2024 is as follows (in millions):
 Fiscal Year Ended January 31,
 202620252024
Beginning of period$2,419 $2,083 $1,975 
Tax positions taken in prior period:
Gross increases36 53 53 
Gross decreases(52)(65)(85)
Tax positions taken in current period:
Gross increases261 378 287 
Settlements(49)(4)(21)
Lapse of statute of limitations(37)(25)(104)
Currency translation effect61 (1)(22)
End of period$2,639 $2,419 $2,083