Issues

Protecting Brands: IFA supports policies that ensure franchise brand standards are protected so that franchisee investments are protected and consumers can expect the same safety, consistency, and quality regardless of the business’ location.

Enhancing Opportunities: IFA supports policies that expand access to business ownership and enable franchise business employees to increase their skills, advance their careers, and prosper economically.

Improving Tax Policy: IFA advocates for reasonable, permanent, and common-sense tax policies that can help small businesses, including pass-through businesses, can open new locations, hire more workers, and better contribute to their local communities.

Promoting Healthcare Coverage: IFA supports policies that allow for quality, affordable health care coverage for franchise business owners and employees.

Tax Reform

Tax reform improves the business environment for franchisors, franchisees, and prospective investors. IFA frequently engages with Congress and Department of Treasury officials in addressing tax concerns facing franchise businesses. Most recently, IFA secured $8 billion in federal tax savings for franchise businesses each year as part of the Tax Cuts and Jobs Act.

Improving Tax Policy

Financial Accounting Standards Board (FASB)

Historically, franchise brands have been allowed to immediately recognize the initial franchise fees earned from incoming franchisees, which average $36,000, when all material services or conditions relating to the sale have been substantially performed or satisfied. For small business, “emerging brands,” the recognition of this income is critical to the financial stability of entrepreneurs who are beginning to grow their business.

Improving Tax Policy

Qualified Improvement Property (QIP)

By supporting a commonsense fix to the technical glitch in the tax law allowing for immediate depreciation on the costs of eligible remodels, renovations, and improvements, IFA seeks to improve the bottom-lines of thousands of franchise businesses throughout the United States.

Improving Tax Policy

Tax Deductibility

IFA's advocacy efforts ensured more than 500 franchise brands and thousands of franchise business owners are eligible for a new 20% deduction on qualified business income as part of the new tax law.

Improving Tax Policy