What was the income tax benefit for Ledgers in 2023?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
NOTE 5 - CURRENT EXPECTED CREDIT LOSSES
Changes in the allowance for credit losses during the year are as follows:
| Balance, January 1, 2023 | $ | - |
|---|---|---|
| Adoption of Topic 326 | 42 | 2,286 |
| Allowance for credit losses | (26 | 5,439) |
| Balance, December 31, 2023 | 15 | ,847 |
| Write-offs | (15 | 5, |
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to Ledgers' 2025 Franchise Disclosure Document, the company experienced an income tax benefit of $98,000 in 2023. This figure reflects the reduction in income taxes for that year.
This income tax benefit is further broken down into federal and state deferred tax benefits. The federal deferred tax benefit was $80,000, and the state deferred tax benefit was $18,000, totaling the $98,000 income tax benefit.
Prospective franchisees should understand that these figures reflect Ledgers' specific financial situation and tax strategies. It's important to consult with a financial advisor to understand the implications of these tax benefits and how they might affect their own investment and business operations.