For Chem Dry, what was the deferred income tax expense (recovery) in 2023?

According to Chem Dry's 2024 Franchise Disclosure Document, the deferred income tax expense (recovery) for 2023 was $265. This figure is part of the broader income tax expenses reported by Chem Dry, which also includes current income tax expenses. Understanding deferred income tax is crucial for assessing the overall financial health and tax obligations of the company.

The deferred income tax expense (recovery) reflects the difference between income tax recognized for financial reporting purposes and the amount calculated per tax regulations. A positive value, such as the $265 reported for 2023, indicates an expense, while a negative value would indicate a recovery. These deferred taxes arise from temporary differences between the book and tax bases of assets and liabilities.

For a prospective Chem Dry franchisee, this information provides insight into how the company manages its tax liabilities and the potential impact of tax-related items on its financial statements. It's important to consider these figures in conjunction with other financial data to gain a comprehensive understanding of Chem Dry's financial performance and stability. Reviewing these figures over several years, as presented in the table, can reveal trends and patterns in the company's tax management strategies.

It is also important to note that these figures are part of the consolidated financial statements of BFG Holdco, Inc., which includes Chem-Dry, Inc. and its subsidiaries. Therefore, the tax expenses reflect the overall tax situation of the parent company and its various holdings, not just the Chem Dry franchise operations alone.