Tax Planning For Physicians And Medical Practices

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Tax Planning For Physicians And Medical Practices
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• Planning taxes for physicians and medical
  practices can often be a little more complex than
  for other professions, and there are some areas
  which will require special attention
• Protecting a physicians assets
• There is ample evidence to show that at least one
  in four practicing physicians will find
  themselves being sued in any given year, and
  research has shown that the majority have been
  sued at least once during their career. Suing
  physicians is sadly seen as being highly
  profitable by patients, and while some may have
  just cause to take legal

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• action against their physicians, others simply
  assume that physicians are highly paid and
  therefore have bottomless pockets and endless
  supplies of ready money.
• Asset protection is often referred to as
  litigation liability limitation planning, and
  as with all types of asset protection, physicians
  will need to ensure that their family home,
  savings, investments and future inheritances to
  name but a few are protected. Unlike regular
  business owners though, physicians need to plan
  to protect their accounts receivables for their
  medical practice.

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• An effective and comprehensive asset protection
  plan for physicians, should involve making them
  and their practice unappealing to litigation, and
  this is achieved by their being no assets at risk
  that would satisfy a litigation pay out.
• Its vital that physicians have an active asset
  protection plan in place well in advance of any
  potential litigation claims.
• Entity and Optimal Multiple Entity Structure
• Combining S-corporations, C-corporations, LLCs
  and other entities, is perhaps the most effective
  structure for ensuring the full utilization of

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• tax planning and minimization, payroll tax
  planning, compensation options, fringe benefit
  planning, retirement planning and tax and income
  deferral opportunities.
• Such a structure will naturally vary depending on
  the size of the practice and the business
  involved, personal and business assets, existing
  practice agreements, external contractual
  relationships and other relative facts and
  circumstances.
• Advanced business and tax planning
• There are individual costs related to the
  practice for physicians, and consideration needs
  to be given to these. Such as asking the question
  of

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• how asset protection planning, or the use of a
  captive insurance company, might impact upon
  rising insurance and malpractice insurance costs.
  
• Some advanced retirement plans, along with the
  legal structure of a practice and its GPs, can
  bring great opportunities for qualified and
  non-qualified retirement planning and funding. If
  physicians and medical practices take opportunity
  of such plans, it can have a great impact on the
  wealth building capacity of individual doctors,
  and can replace some of the taxes that are paid
  in Congresss attempts to redistribute wealth.

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• With the continually changing medical industry,
  including constant variations on how to practice
  medicine, its hugely important that physicians
  pay close attention to all aspects of their
  medical practices that relate to business.
• Such challenges are best faced with the help of a
  professional company who specialize in giving
  advice and guidance to physicians and their
  medical practices, and not only will they ensure
  that you remain legally compliant and free from
  the risk of litigation, but they will help your
  practice to thrive and be financially successful.

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• At Heyer Associates, we proactively assist our
  individual and small business clients in meeting
  their goals. Our key area of focus is ensuring
  that our clients remain compliant with federal
  and state tax laws by providing them with high
  quality accounting and tax preparation service
  Coral Gables. If you are looking for tax
  preparation service in Miami, Heyer Associates
  would be a right option.