Company: ROK
Filing Date: 2025-11-12
Form Type: 10-K
Source: 0001024478-25-000116
Chunk: 232

Company: ROCKWELL AUTOMATION, INC
Filing Date: 2025-11-12
Form: 10-K
Item: Item 6
Chunk 232
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Deferred TaxesThe tax effects of temporary differences that give rise to our net deferred income tax assets (liabilities) consists of (in millions):20252024Deferred income tax assets  Compensation and benefits$31 $18 Inventory24 23 Returns, rebates, and incentives61 62 Retirement benefits45 88 Environmental remediation and other site-related costs25 24 Share-based compensation23 26 Other accruals and reserves470 386 Net operating loss carryforwards62 70 Tax credit carryforwards13 14 Capital loss carryforwards16 15 Other125 58 Subtotal895 784 Valuation allowance(129)(98)Net deferred income tax assets766 686 Deferred income tax liabilities  Property(60)(52)Intangible assets(105)(120)Investments— — Unremitted earnings of foreign subsidiaries(45)(37)Other— — Deferred income tax liabilities(210)(209)Total net deferred income tax assets$556 $477 We provide for deferred taxes on the majority of earnings of our non-U.S. subsidiaries and have done so since the enactment of the Tax Act in 2017. We do not provide for deferred taxes on a limited number of our non-U.S. subsidiaries established in jurisdictions that apply significant restrictions for repatriating cash. The amount of cumulative non-distributed earnings considered to be indefinitely reinvested outside the U.S. at September 30, 2025, is $156 million. It is not practicable to estimate the amount of additional taxes that may be payable upon distribution of these earnings.We believe it is more likely than not that we will realize our deferred tax assets through the reduction of future taxable income, other than for the deferred tax assets reflected below. Tax attributes and related valuation allowances at September 30, 2025 consists of (in millions):Tax attributes and related valuation allowancesTax Benefit AmountValuation AllowanceCarryforwardPeriod EndsNon-United States net operating loss carryforward$5 $— 2026-9/30/2044Non-United States net operating loss carryforward52 52 IndefiniteNon-United States capital loss carryforward16 16 IndefiniteState and local net operating loss carryforward5 1 2026-2045State tax credit carryforward13 — 2033-2040Subtotal91 69 Other deferred tax assets60 60