Income Taxes |
3 Months Ended |
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Dec. 24, 2023 | |
| Income Tax Disclosure [Abstract] | |
| Income Taxes | Income Taxes We estimate our annual effective income tax rate to be 7% for fiscal 2024, which is lower than the U.S. federal statutory rate, primarily due to (i) a significant portion of our income qualifying for preferential treatment as foreign-derived intangible income (FDII) at a 13% effective tax rate, which includes certain benefits from the requirement to capitalize research and development expenditures for federal income tax purposes, (ii) a benefit from our federal research and development tax credit and (iii) a benefit related to foreign currency gains on a noncurrent receivable related to our refund claim of Korean withholding tax. Our effective tax rate of 5% for the first quarter of fiscal 2024 was lower than our estimated annual effective tax rate of 7% primarily due to $79 million of net discrete tax benefits. Our effective tax rate of 4% for the first quarter of fiscal 2023 included $150 million of discrete net tax benefits. Such discrete net tax benefits primarily related to foreign currency gains on a noncurrent receivable related to our refund claim of Korean withholding tax. Income taxes payable (recorded in other current liabilities) were $1.0 billion and $1.7 billion at December 24, 2023 and September 24, 2023, respectively. This decrease was primarily due to certain U.S. federal income tax payments made in the first quarter of fiscal 2024 that were previously postponed by the Internal Revenue Service (IRS).
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