What was the total deferred income tax provision for Best Western in 2023 (in thousands)?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
and other current assets consisted of the following:
| (in thousands) | 2023 | 2022 |
|---|---|---|
| Prepaid expenses and other current assets | $ 17,060 | $ 16,301 |
| Current contract assets | 957 | 964 |
| Total | $ 18,017 | $ 17,265 |
(5) Income Taxes
The income tax provision for the years ended N
Source: Item 23 — Receipts (FDD pages 108–413)
What This Means (2025 FDD)
According to Best Western's 2025 Franchise Disclosure Document, the total deferred income tax provision for 2023 was $1,927,000. This figure is part of the overall income tax provision, which also includes current income taxes. The income tax provision is a deduction from revenues when calculating excess revenues over expenses.
The deferred portion of the income tax provision is further broken down into federal, foreign, and state components. For 2023, the federal deferred income tax was $1,405,000, the foreign deferred income tax was $46,000, and the state deferred income tax was $476,000. These individual components add up to the total deferred income tax provision of $1,927,000.
Understanding the components of Best Western's income tax provision can help prospective franchisees appreciate the financial structure of the organization. While franchisees do not directly pay Best Western's income taxes, these figures reflect the overall profitability and financial management of the Best Western organization, which can impact the resources and support available to franchisees.