What was the value of Corcoran's minimum pension obligations in 2023?
Corcoran Franchise · 2025 FDDAnswer from 2025 FDD Document
e U.S. federal statutory rate of 21% to the actual expense was as follows:
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| Federal statutory rate | 21 % | 21 % | 21 % |
| State and local income taxes, net of federal tax benefits | 5 | 1 | 3 |
| Non-deductible equity compensation | (1) | (1) | — |
| Non-deductible executive compensation | (4) | (4) | (1) |
| Goodwill impairment | — | (5) | (8) |
| Uncertain tax positions | — | — | (1) |
| Tax credits (a) | 5 | 6 | 7 |
| Net change in valuation allowance (b) | (21) | (5) | — |
| Other permanent differences | (3) | — | (2) |
| Effective tax rate | 2 % | 13 % | 19 % |
(a) This item in 2022 includes a benefit related to the completion of a research tax credit study for tax years 2016 through 2022.
_______________
Deferred income taxes result from temporary differences between the amount of assets and liabilities recognized for financial reporting and tax purposes. The components of the deferred inco
Source: Item 23 — RECEIPTS (FDD pages 75–276)
What This Means (2025 FDD)
According to Corcoran's 2025 Franchise Disclosure Document, the company's minimum pension obligations were valued at $13 in 2023. This figure is part of the deferred income tax assets reported by Corcoran. In 2024, the minimum pension obligations decreased to $12.
This information is relevant to prospective franchisees as it provides insight into Corcoran's financial obligations related to its pension plans. While franchisees are not directly responsible for these obligations, understanding the financial health and commitments of the franchisor can help in assessing the overall stability and long-term viability of the franchise system.
The deferred income tax assets table provides a broader view of Corcoran's financial position, including other assets and liabilities such as net operating loss carryforwards, tax credit carryforwards, accrued liabilities, and deferred income. Reviewing these figures can offer a more comprehensive understanding of Corcoran's financial management and tax strategies.
It is important to note that these figures represent only a snapshot in time and may not reflect the full scope of Corcoran's pension-related liabilities or the performance of its pension plans. For a more detailed understanding, prospective franchisees should consider requesting additional information from Corcoran regarding its pension plans and other employee benefits.