Happy Doctors’ Day! Today we recognize all of the physicians and medical professionals across our great nation who work incredibly hard to keep us happy and healthy.
When you go to the doctor, he or she may diagnose a medical ailment you’re experiencing. You might even receive a prescription for a medication to help treat your ailment.
When it comes to taxes, it’s critical to diagnose your tax standing with the IRS to come up with a plan of action that includes tax deductions to help reduce your bill from Uncle Sam, while staying compliant at the same time. If you are one of the many physicians with your own medical practice, consider these tax deductions for doctors that can help you keep more of the income your medical practice generates:
- Medical equipment, i.e. exam tables, stethoscopes, vials, x-rays, MRI machines, tweezers, special lighting, etc.
- Office equipment, i.e. chairs, desks, tables, waiting room TVs, phones, computers, printers, scanners, copy machines, tablets
- Office supplies, i.e. paper, pens, sign-in clipboards, ink cartridges for printers/copiers, envelopes, postage
- Employee salaries for nurses, receptionists, and office staff
- Office overhead costs, i.e. property rental fees, utilities, Internet access, cable TV, water coolers, coffee, snacks
- Computer software to maintain medical records or to perform certain medical examinations
- Licensing expenses
- Board examination fees
- Self-insured medical reimbursement plan premiums or unreimbursed medical expenses
- Professional fees for accountants, lawyers, medical consultants, etc.
- Marketing/advertising costs to promote a medical practice, i.e. a website, signage, e-mail marketing software, social media ads, listings in directories for doctors’ offices
- Travel expenses to attend medical conferences, i.e. transportation, lodging, meals
- Miscellaneous costs, i.e. investment expenses, mortgage interest, etc.
The Importance of Recordkeeping for Doctors
Doctors know how important it is to maintain accurate patient information and medical history. The same rule of thumb should apply to taxes. It’s critical to maintain records and receipts of all expenses you incur as a doctor with a medical practice. The IRS wants to ensure that all costs are related to your medical practice rather than for personal needs, so maintaining proper records and providing this information when filing your tax return is a must.
For more tax deductions for doctors and members of all other professions, turn to the small business accounting professionals at 1-800Accountant. Call 1-800-222-6868 or check out the “Services” page on www.1-800Accountant.
Image credit: The image included in this blog post is used with permission via the Flickr Creative Commons license.