Income Taxes |
9 Months Ended |
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Sep. 27, 2025 | |
| Income Tax Disclosure [Abstract] | |
| Income Taxes | Income Taxes Our effective tax rate was 25.6% and 11.5% for the third quarter of 2025 and 2024, respectively, and 19.9% and 15.8% for the first nine months of 2025 and 2024, respectively. On July 4, 2025, the One Big Beautiful Bill Act (the Act) was enacted and changed certain sections of U.S. income tax law. Among other things, the Act makes permanent: 1) the option to deduct domestic research and development expenditures immediately in the year incurred, 2) the deduction of the full cost of eligible assets in the year placed in service, and 3) the EBITDA-based business interest expense limitation as well as modifications to the international tax framework. In the third quarter of 2025, our effective tax rate was higher than the U.S. federal statutory rate of 21%, largely reflecting the impact of certain provisions of the Act, primarily those that affected tax deductions for foreign-derived intangible income and research and development credits. In the first nine months of 2025, our effective tax rate was lower than the U.S. federal statutory rate, primarily due to the favorable impact of research and development credits. In the third quarter of 2024, the effective tax rate was lower than the U.S. federal statutory rate, largely due to the favorable impact of research and development credits and foreign tax credits. Our effective tax rate for the first nine months of 2024 was lower than the U.S. federal statutory rate largely due to the favorable impact of research and development credits and tax deductions for foreign-derived intangible income.
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