What was the state income tax expense (recovery) for Chem Dry in 2023?
Chem_Dry Franchise · 2024 FDDAnswer from 2024 FDD Document
ibutable to continuing operations and are detailed as follows:
| 2023 | 2022 (As Restated) | 2021 | |
|---|---|---|---|
| Current income tax expense | $ 212 | $ 726 | $ 424 |
| Deferred income tax expense (recovery) | 265 | (2,595) | 795 |
| Total income tax expense (recovery) | $ 477 | $ (1,869) $ | 1,219 |
A reconciliation of the provision for income taxes to income taxe
Source: Item 23 — Receipts (FDD pages 68–264)
What This Means (2024 FDD)
According to Chem Dry's 2024 Franchise Disclosure Document, the state income tax expense (recovery) for 2023 was $168. The document also provides figures for previous years, with a state income tax recovery of ($42) in 2022 (as restated) and a state income tax expense of $257 in 2021.
It's important to note that these figures represent Chem Dry's state income tax situation at the corporate level, not necessarily the tax obligations a franchisee would face. A franchisee's state income tax liabilities will depend on their individual business structure (e.g., sole proprietorship, LLC) and the specific state in which they operate their Chem Dry franchise.
Prospective franchisees should consult with a financial advisor or tax professional to understand the potential state income tax implications of owning and operating a Chem Dry franchise in their specific location. Understanding these obligations is a crucial part of financial planning for any new business venture.