INCOME TAXES |
6 Months Ended |
|---|---|
Jun. 30, 2026 | |
| Income Tax Disclosure [Abstract] | |
| INCOME TAXES | INCOME TAXES Income tax expense for the three months ended June 30, 2026, was $231.4 million, or 21.9% of income before taxes, compared to $167.9 million, or 20.2% of income before taxes, for the three months ended June 30, 2025. Income tax expense for the six months ended June 30, 2026, was $345.8 million, or 17.3% of income before taxes, compared to $132.7 million, or 8.8% of income before taxes, for the six months ended June 30, 2025. The effective tax rate for the three months ended June 30, 2026, differed from the U.S. federal statutory rate of 21% primarily due to state income taxes and taxes on foreign earnings, partially offset by excess tax benefits associated with employee equity plans and the federal research and development credit benefit. The effective tax rates for the six months ended June 30, 2026, and the three and six months ended June 30, 2025, differed from the U.S. federal statutory rate of 21% primarily due to the excess tax benefits associated with employee equity plans and the federal research and development credit benefit, The Company’s provision for income taxes for the three months ended June 30, 2026, and 2025, included excess tax benefits associated with employee equity plans of $17.3 million and $32.9 million, respectively, which reduced the Company’s effective tax rate by 1.6 and 4.0 percentage points, respectively. The provision for income taxes for the six months ended June 30, 2026, and 2025, included excess tax benefits associated with employee equity plans of $90.6 million and $178.3 million, respectively, which reduced the Company’s effective tax rate by 4.5 and 11.9 percentage points, respectively. The Company files federal, state, and foreign income tax returns in many jurisdictions in the U.S. and OUS. Years before 2020 are considered closed for significant jurisdictions. Certain of the Company’s unrecognized tax benefits could change due to activities of various tax authorities, including evolving interpretations of existing tax laws in the jurisdictions in which the Company operates, potential assessment of additional tax, possible settlement of audits, or through normal expiration of various statutes of limitations, which could affect the Company’s effective tax rate in the period in which they change. The Company is subject to the examination of its income tax returns by the Internal Revenue Service and other tax authorities. The outcome of these audits cannot be predicted with certainty. The Company’s management regularly assesses the likelihood of adverse outcomes resulting from these examinations to determine the adequacy of the Company’s provision for income taxes. If any issues addressed in the Company’s tax audits are resolved in a manner not consistent with management’s expectations, the Company could be required to adjust its provision for income taxes in the period such resolution occurs.
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