v3.22.4
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2022
Income Tax Disclosure [Abstract]  
Schedule of income from continuing operations before income taxes Income from continuing operations before income taxes consisted of the following (in millions):
Year Ended December 31,
 202020212022
Domestic operations$37,576 $77,016 $61,307 
Foreign operations10,506 13,718 10,021 
Total$48,082 $90,734 $71,328 
Schedule of components of income tax expense (benefit) Provision for income taxes consisted of the following (in millions):
Year Ended December 31,
 202020212022
Current:
Federal and state$4,789 $10,126 $17,120 
Foreign1,687 2,692 2,434 
Total6,476 12,818 19,554 
Deferred:
Federal and state1,552 2,018 (8,052)
Foreign(215)(135)(146)
Total1,337 1,883 (8,198)
Provision for income taxes$7,813 $14,701 $11,356 
Schedule of effective income tax rate reconciliation
The reconciliation of federal statutory income tax rate to our effective income tax rate was as follows:
Year Ended December 31,
 202020212022
U.S. federal statutory tax rate21.0 %21.0 %21.0 %
Foreign income taxed at different rates(0.3)0.2 3.0 
Foreign-derived intangible income deduction(3.0)(2.5)(5.4)
Stock-based compensation expense(1.7)(2.5)(1.2)
Federal research credit(2.3)(1.6)(2.2)
Deferred tax asset valuation allowance1.4 0.6 0.9 
State and local income taxes1.1 1.0 0.8 
Other0.0 0.0 (1.0)
Effective tax rate16.2 %16.2 %15.9 %
Schedule of deferred tax assets and liabilities Significant components of our deferred tax assets and liabilities were as follows (in millions):
As of December 31,
20212022
Deferred tax assets:
Accruals and reserves not currently deductible$1,816 $1,956 
Tax credits5,179 6,002 
Net operating losses1,790 2,557 
Operating leases2,503 2,711 
Capitalized research and development(1)
1,843 10,381 
Other1,665 3,244 
Total deferred tax assets14,796 26,851 
Valuation allowance(7,129)(9,553)
Total deferred tax assets net of valuation allowance7,667 17,298 
Deferred tax liabilities:
Property and equipment, net(5,237)(6,607)
Net investment gains(3,229)(2,361)
Operating leases(2,228)(2,491)
Other(946)(1,092)
Total deferred tax liabilities(11,640)(12,551)
Net deferred tax assets (liabilities)$(3,973)$4,747 
Summary of income tax contingencies
The following table summarizes the activity related to our gross unrecognized tax benefits (in millions):
Year Ended December 31,
 202020212022
Beginning gross unrecognized tax benefits$3,377 $3,837 $5,158 
Increases related to prior year tax positions372 529 253 
Decreases related to prior year tax positions(557)(263)(437)
Decreases related to settlement with tax authorities(45)(329)(140)
Increases related to current year tax positions690 1,384 2,221 
Ending gross unrecognized tax benefits$3,837 $5,158 $7,055