Cisco 2015 Annual Report Download - page 126
Download and view the complete annual report
Please find page 126 of the 2015 Cisco annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.-
1 -
2
-
3
-
4
-
5
-
6
-
7
-
8
-
9
-
10
-
11
-
12
-
13
-
14
-
15
-
16
-
17
-
18
-
19
-
20
-
21
-
22
-
23
-
24
-
25
-
26
-
27
-
28
-
29
-
30
-
31
-
32
-
33
-
34
-
35
-
36
-
37
-
38
-
39
-
40
-
41
-
42
-
43
-
44
-
45
-
46
-
47
-
48
-
49
-
50
-
51
-
52
-
53
-
54
-
55
-
56
-
57
-
58
-
59
-
60
-
61
-
62
-
63
-
64
-
65
-
66
-
67
-
68
-
69
-
70
-
71
-
72
-
73
-
74
-
75
-
76
-
77
-
78
-
79
-
80
-
81
-
82
-
83
-
84
-
85
-
86
-
87
-
88
-
89
-
90
-
91
-
92
-
93
-
94
-
95
-
96
-
97
-
98
-
99
-
100
-
101
-
102
-
103
-
104
-
105
-
106
-
107
-
108
-
109
-
110
-
111
-
112
-
113
-
114
-
115
-
116 -
117 -
118 -
119 -
120 -
121 -
122 -
123 -
124 -
125 -
126 -
127 -
128 -
129 -
130 -
131 -
132 -
133 -
134 -
135 -
136 -
137
-
138
-
139
-
140
 |
 |
The components of the deferred tax assets and liabilities are as follows (in millions):
July 25, 2015 July 26, 2014
ASSETS
Allowance for doubtful accounts and returns ................................................ $ 417 $ 464
Sales-type and direct-financing leases ....................................................... 266 231
Inventory write-downs and capitalization ................................................... 345 307
Investment provisions ...................................................................... 112 212
IPR&D, goodwill, and purchased intangible assets .......................................... 134 135
Deferred revenue ........................................................................... 1,795 1,689
Credits and net operating loss carryforwards ................................................ 746 796
Share-based compensation expense ......................................................... 520 661
Accrued compensation ..................................................................... 467 496
Other ....................................................................................... 670 676
Gross deferred tax assets ............................................................... 5,472 5,667
Valuation allowance ................................................................... (84) (114)
Total deferred tax assets ............................................................... 5,388 5,553
LIABILITIES
Purchased intangible assets ................................................................. (950) (1,229)
Depreciation ................................................................................ (143) (48)
Unrealized gains on investments ............................................................ (175) (245)
Other ....................................................................................... (15) (26)
Total deferred tax liabilities ............................................................ (1,283) (1,548)
Total net deferred tax assets ...................................................... $ 4,105 $ 4,005
As of July 25, 2015, the Company’s federal, state, and foreign net operating loss carryforwards for income tax purposes were
$204 million, $536 million, and $697 million, respectively. A significant amount of the federal net operating loss carryforwards
relates to acquisitions and, as a result, is limited in the amount that can be recognized in any one year. If not utilized, the federal
net operating loss will begin to expire in fiscal 2018, and the state and foreign net operating loss carryforwards will begin to
expire in fiscal 2018 and 2016, respectively. The Company has provided a valuation allowance of $68 million for deferred tax
assets related to foreign net operating losses that are not expected to be realized.
As of July 25, 2015, the Company’s federal, state, and foreign tax credit carryforwards for income tax purposes were
approximately $7 million, $700 million, and $26 million, respectively. The federal and foreign tax credit carryforwards will begin
to expire in fiscal 2017 and 2018, respectively. The majority of state and foreign tax credits can be carried forward indefinitely.
The Company has provided a valuation allowance of $16 million for deferred tax assets related to state and foreign tax credits
that are not expected to be realized.
118