What was the amount of State and Local Taxes paid by Gold Star in 2023?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
--------------------------------------|---------------------------| | Retained Earnings, December 31, 2022, As Restated | $ 1,312,822 |
NOTE 25 – SUBSEQUENT EVENT
The Company has evaluated subsequent events through April 8, 2025, which is the date the consolidated financial statements were available to be issued.
In February 2025, the Company entered into a 15-year lease for a building in Hamilton, Ohio. The lease has three 5-year renewal options with a purchase option in years 20 through 30 of the lease. The lease will commence 30 days from the Company's opening for business to the public, which is anticipated to be April 2025. The rent payments over the life of the lease will be $476,124.
GOLD STAR CHILI, INC. CONSOLIDATED STATEMENTS OF SELLING , GENERAL AND ADMINISTRATIVE EXPENSES
| -------------------------- | -- |
|---|
| 2022 | ||||||
|---|---|---|---|---|---|---|
| 2024 | 2023 | (Restated) | ||||
| Research and Development | $ 35,511 | $ | 37,484 | $ | 41,997 | |
| Salaries and Wages | 6,959,176 | 6,101,035 | 5,600,894 | |||
| 401(k) Expense | 64,584 | 73,246 | 65,823 | |||
| Advertising Expense | 886,959 | 921,454 | 996,584 | |||
| Depreciation and Amortization Expense | 1,312,395 | 1,000,384 | 876,592 | |||
| State and Local Taxes | 755,808 | 757,139 | 716,467 | |||
| Pa |
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, the company paid $757,139 in State and Local Taxes in 2023. This figure reflects the total amount of these taxes incurred by Gold Star during that fiscal year. Prospective franchisees should understand that this is just one component of the overall expenses for Gold Star.
Understanding the tax obligations of Gold Star can help a potential franchisee assess the financial health and stability of the company. While this specific figure pertains to the franchisor's expenses, it provides context for the broader financial picture. Franchisees are not directly responsible for these taxes, but the franchisor's ability to manage its tax liabilities can impact the support and resources available to franchisees.
It's important to note that this figure is from the franchisor's financial statements and may not directly correlate to the tax obligations of individual franchise units. However, reviewing the franchisor's tax history can offer insights into their financial management practices. Prospective franchisees should consult with a financial advisor to understand the full financial implications of investing in a Gold Star franchise.