What was the total amount of Card My Yard's deferred income tax liabilities in 2024?
Card_My_Yard Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | |||
|---|---|---|---|---|
| Deferred income tax assets (liabilities): | ||||
| Intangible assets | $ | (5,284,048) | $ | (5,747,861) |
| Deferred costs | (153,662) | (16,114) | ||
| Fixed assets | (36,969) | (44,540) | ||
| Deferred revenue | 249,196 | 140,945 | ||
| NOL carryforwards | 287,562 | 166,613 | ||
| Other | (4,146) | (6,448) | ||
| $ | (4,942,067) | $ | (5,507,405) |
Source: Item 23 — RECEIPTS (FDD pages 84–259)
What This Means (2025 FDD)
According to Card My Yard's 2025 Franchise Disclosure Document, the company's total deferred income tax liabilities amounted to $4,942,067 in 2024. This figure represents the cumulative amount of income taxes that Card My Yard has deferred to future years. This liability arises from temporary differences between the book (accounting) and tax values of assets and liabilities. These differences will result in taxable amounts in future years when the assets are recovered or the liabilities are settled.
Deferred tax liabilities are a normal part of business operations and financial reporting. They reflect the future tax obligations that Card My Yard will need to address. The deferred income tax liabilities decreased from $5,507,405 in 2023 to $4,942,067 in 2024.
Prospective franchisees should understand that these figures are part of Card My Yard's overall financial health. While franchisees are not directly responsible for these liabilities, understanding the franchisor's financial stability is crucial. Reviewing these figures in the context of the company's complete financial statements can provide a more comprehensive view of its financial position.