What was the total current income tax benefit for Precision Door Service in 2024?
Precision_Door_Service Franchise · 2025 FDDAnswer from 2025 FDD Document
24, including finance lease costs and variable lease costs. Rent expense for operating leases was $7,855 for the year ended December 31, 2023. Total lease cost was $13,926 for the year ended December 31, 2023, including finance lease costs and variable lease costs.
Notes to Consolidated Financial Statements ($000's)
9. Income Taxes
The income tax benefit is as follows:
| Current: Federal State Foreign | $ 10,911 2,002 (202)
Source: Item 21 — Financial Statements (FDD page 91)
What This Means (2025 FDD)
According to Precision Door Service's 2025 Franchise Disclosure Document, the company's total current income tax benefit for the year ending December 31, 2024, was $12,710. This figure is the sum of federal, state, and foreign current income tax benefits, which were $10,911, $2,002, and $(202), respectively.
It is important to note that this is a 'benefit,' which means it effectively reduces the company's tax liability. A prospective franchisee should understand how these tax benefits are derived and how they might fluctuate, as this can impact the overall financial health of Precision Door Service and, potentially, the support and services it can provide to its franchisees.
Furthermore, the FDD also shows a 'total income tax benefit' of $(7,941) for the same period. This figure includes both current and deferred income taxes. Deferred taxes can arise from temporary differences between accounting for tax purposes and financial reporting purposes. The difference between the current income tax benefit of $12,710 and the total income tax benefit of $(7,941) is due to deferred tax expenses of $(20,651).