What was the reported federal income tax expense for Big Apple Bagels in 2022?
Big_Apple_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
| Current | 2024 | 2023 | 2022 | |
|---|---|---|---|---|
| Federal | $ 123,906 | $ 118,446 | $ 68,985 |
Source: Item 23 — RECEIPTS (FDD pages 87–319)
What This Means (2025 FDD)
According to Big Apple Bagels' 2025 Franchise Disclosure Document, the federal income tax expense for 2022 was $68,985. This figure represents the amount of federal income taxes that Big Apple Bagels accrued and expects to pay for that year. It is a component of the overall income tax expense, which also includes state and deferred income taxes.
For a prospective franchisee, understanding the tax obligations of the franchisor can provide insights into the financial health and stability of the company. While franchisees are responsible for their own business's tax obligations, the franchisor's tax management and liabilities can affect the overall franchise system.
It's important to note that this is just one year's data, and reviewing several years of financial statements can provide a more comprehensive understanding of Big Apple Bagels' tax situation. Additionally, prospective franchisees should consult with a financial advisor to understand the tax implications of investing in a Big Apple Bagels franchise.