Oracle 2010 Annual Report Download - page 265

INCOME TAXES (Details)
INCOME TAXES
(Details) (USD $) (in Millions)
12 Months Ended
05/31/2011
12 Months Ended
05/31/2010
12 Months Ended
05/31/2009
Tax provision at statutory rate $ 3,994 $ 2,885 $ 2,742
Foreign earnings at other than United States rates (1,125) (672) (673)
State tax expense, net of federal benefit 188 161 201
Settlements and releases from judicial decisions and statute expirations, net (53) (315) 25
Domestic production activity deduction (206) (95) (82)
Other, net 66 144 28
Total provision for income taxes 2,864 2,108 2,241
Reasonably possible decrease in the next 12 months in gross unrecognized tax benefits related to domestic
audits
538
Reasonably possible decrease in the next 12 months in gross unrecognized tax benefits related to domestic
audits, net of offsetting tax benefits
474
Reasonably possible decrease in the next 12 months in gross unrecognized tax benefits related to foreign
audits
285
Reasonably possible decrease in gross unrecognized tax benefits related to foreign audits, net of offsetting
tax benefits
181
Interest and penalties related to uncertain tax positions recognized in our provision for income taxes 22 3 142
Interest and penalties related to uncertain tax positions accrued 669 576
Unrecognized tax benefits that would affect our effective tax rate, if recognized 2,300
Federal 1,817 1,307 1,341
State 263 299 361
Foreign 1,037 1,013 934
Total current provision 3,117 2,619 2,636
Deferred benefit - Federal (179) (380) (177)
Deferred provision (benefit) - State 14 (76) (52)
Deferred benefit - Foreign (88) (55) (166)
Total deferred benefit (253) (511) (395)
Total provision for income taxes 2,864 2,108 2,241
Effective income tax rate 0.251 0.256 0.286
Temporary differences related to undistributed foreign earnings 16,100
Other outside basis temporary differences of investments in foreign subsidiaries 4,900
Potential deferred tax liability related to undistributed foreign earnings 4,600
Potential deferred tax liability related to investments in foreign subsidiaries 1,600
Net deferred tax assets 2,105 1,860
Valuation allowance 772 649
Federal net operating loss carryforwards 751
State net operating loss carryforwards 3,200
Foreign net operating loss carryforwards 1,700
Foreign net operating loss carryforwards not subject to expiration 1,500
Foreign net operating loss carryforwards subject to expiration 171
Tax credit carryforwards subject to limitation on utilization 1,200
Tax credit carryforwards not subject to expiration dates 361
Tax credit carryforwards subject to expiration dates 826
Domestic 6,378 4,282 3,745
Foreign 5,033 3,961 4,089
Total income before provision for income taxes 11,411 8,243 7,834
Accruals and allowances 543 629
Employee compensation and benefits 742 649
Source: ORACLE CORP, 10-K, June 28, 2011 Powered by Morningstar® Document Research℠