Income Taxes |
6 Months Ended |
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Jun. 30, 2026 | |
| Income Tax Disclosure [Abstract] | |
| Income Taxes | 11. Income Taxes The effective tax rate for the three and six months ended June 30, 2026 was 31.3% and 28.8%, respectively. For the three months ended June 30, 2026, the effective tax rate was primarily impacted by (i) the increase of $6 million of accrued interest and penalties associated with the unrecognized tax benefits, (ii) the geographical mix of where earnings are generated, (iii) losses during the period that have not been recognized due to uncertainty regarding their future realization, and (iv) certain non- deductible expenses and other non-recurring items. For the six months ended June 30, 2026, the effective tax rate was primarily impacted by (i) the tax benefit associated with the release of $7 million of unrecognized tax benefits, (ii) the increase of $12 million of accrued interest and penalties associated with the unrecognized tax benefits, (iii) tax benefit associated with a non-recurring adjustment to certain deferred tax assets of $11 million, (iv) the geographical mix of where earnings are generated, (v) losses during the period that have not been recognized due to uncertainty regarding their future realization, and (vi) certain non-deductible expenses and other non-recurring items. The effective tax rate for the three and six months ended June 30, 2025 was 144.8% and 20.5%, respectively. For the three months ended June 30, 2025, the effective tax rate was primarily impacted by (i) tax expense associated with an increase in unrecognized tax benefits of $13 million (ii) losses during the period that have not been recognized due to uncertainty regarding their future realization, and (iii) certain non-deductible expenses and other non-recurring items. For the six months ended June 30, 2025, the effective tax rate was primarily impacted by (i) the tax benefit associated with the resolution of $72 million of unrecognized tax benefits (due to the lapse of the statute of limitations), along with the release of $24 million of accrued interest and penalties associated with the unrecognized tax benefits, (ii) tax expense associated with an increase in unrecognized tax benefits of $13 million, (iii) losses during the period that have not been recognized due to uncertainty regarding their future realization, (iv) the geographical mix of where earnings are generated, and (v) certain non-deductible expenses and other non-recurring items. During the six months ended June 30, 2026 and June 30, 2025, cash paid for income taxes, net of refunds, was $215 million and $210 million, respectively.
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