INCOME TAXES |
3 Months Ended |
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Mar. 31, 2026 | |
| Income Tax Disclosure [Abstract] | |
| INCOME TAXES | INCOME TAXES Each year the Company files hundreds of tax returns in the various national, state, and local income taxing jurisdictions in which it operates. These tax returns are subject to examination and possible challenge by the tax authorities. The Company has ongoing federal, state, and international income tax audits in various jurisdictions and evaluates uncertain tax positions that may be challenged by local tax authorities. As a result, there is an uncertainty in income taxes recognized in the Company’s financial statements in accordance with accounting for income taxes and accounting for uncertainty in income taxes. The ultimate resolution of such uncertainties is not expected to have a material impact on the Company's interim results of operations. The Company's effective tax rate fluctuates based on, among other factors, where income is earned and the level of income relative to tax attributes. The effective tax rate on continuing operations for the first quarter of 2026 was 17.1 percent, compared with an effective tax rate of 17.5 percent for the first quarter of 2025. The lower effective tax rate for the first quarter of 2026 was principally the result of a discrete tax benefit relating to a change in tax classification of a non-U.S. legal entity. On July 4, 2025, the One Big Beautiful Bill Act (the "Act”) was enacted. The Act includes a broad range of tax reform provisions, including modifications and enhancements to the domestic and international provisions of the Tax Cuts and Jobs Act. Among other changes, the Act allows for immediate expensing of domestic research and development expenditures, revises provisions around foreign-sourced earnings and revises the corporate interest limitation rules. The Company has evaluated the provisions of the Act and determined that the Act did not have a material impact on the Company’s consolidated financial statements. On January 5, 2026, the Organisation for Economic Co‑operation and Development ("OECD") issued additional administrative guidance related to Pillar Two, including “side‑by‑side” rules and an extension of the Transitional Country‑by‑Country Reporting Safe Harbor through fiscal year 2027. Based on the guidance issued to date, these provisions do not have a material impact on the Company’s financial position, results of operations, or cash flows, and the Company will continue to monitor related U.S. and international developments.
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