What was the outcome of the IRS Employment Review for Batteries Plus Bulbs in January 2023?
Batteries_Plus_Bulbs Franchise · 2025 FDDAnswer from 2025 FDD Document
statements is the largest benefit that a greater than 50% likelihood of being realized upon ultimate settlement with the relevant tax authority. Holdings has applied the uncertain tax position guidance to all tax positions for which the statute of limitations remained open.
Holdings' federal income tax returns are subject to examination generally for three years after they are filed and its state income tax returns generally for four years after they are filed. In 2022, the Internal Revenue Service (IRS) notified the Co
Source: Item 21 — Financial Statements (FDD pages 79–80)
What This Means (2025 FDD)
According to Batteries Plus Bulbs' 2025 Franchise Disclosure Document, the IRS concluded an Employment Review of the company's 2019 related filings in January 2023. This review also covered filings for 2020 and 2021. As a result of the review, Batteries Plus Bulbs paid $88 to the US Treasury.
This outcome indicates that the IRS found some discrepancies or issues in the company's employment-related tax filings for those years. The payment of $88 suggests that the issues were relatively minor, as this amount is not substantial. However, it's important for prospective franchisees to understand that tax compliance is a critical aspect of running a business, and any issues with tax filings can lead to financial penalties and legal complications.
While the specific nature of the employment review and the reasons for the $88 payment are not detailed in this excerpt, it would be prudent for a potential Batteries Plus Bulbs franchisee to inquire further about this matter. Understanding the types of issues that triggered the review and how the company has addressed them can provide valuable insights into the company's financial management and compliance practices. This information can help franchisees assess the potential risks and responsibilities associated with operating a Batteries Plus Bulbs franchise.