For what years is Bor Restoration no longer subject to U.S. federal tax audits?
Bor_Restoration Franchise · 2024 FDDAnswer from 2024 FDD Document
The Company is no longer subject to U.S. federal tax audits on its Form 1040 by taxing authorities for years ending prior to December 31, 2019. The Company is no longer subject to state tax audits on its Form 104 state tax return by taxing authorities for years ending prior to December 31, 2018. The years subsequent to this year contain matters that could be subject to differing interpretations of applicable tax laws and regulations. Although the outcome of tax audits is uncertain, the Company believes no issues would arise.
Source: Item 23 — Receipts (FDD pages 40–202)
What This Means (2024 FDD)
According to Bor Restoration's 2024 Franchise Disclosure Document, the company is not subject to U.S. federal tax audits for years ending prior to December 31, 2019. Additionally, Bor Restoration is not subject to state tax audits for years ending prior to December 31, 2018.
This information is relevant to prospective franchisees as it provides insight into the company's past tax obligations and potential liabilities. While past tax audits may not directly impact a franchisee's operations, understanding the company's financial history can help in assessing the overall stability and transparency of the franchise system.
It's important to note that the years subsequent to those mentioned may contain matters subject to differing interpretations of applicable tax laws and regulations. However, Bor Restoration believes that no issues would arise from potential tax audits in those years. Franchisees should consult with financial and legal advisors to fully understand the implications of these tax matters.