- August 16, 2016
- Posted by: Smith & Smith
- Category: Dental Tax, Income Tax Preparation
As a budding dental practice, you are often busy dealing with your patients. You can have a CPA help you out with preparing for taxes as well has help you set up the business side of your practice for effectively growing your little practice to great heights.
Manage the business side
It is hard to manage both ends of your dental practice. Usually, focusing on the patient’s aspect will harm your chances in staying updated in the business side of your practice. There are responsibilities like keeping up with new technologies, understanding your tax needs, bookkeeping, preparing and paying out your taxes and yearly financial statements, and manage employees and your business expenses. It can be hard to keep track of all of it, but you can have a CPA manage it for you.
Stay out of trouble with the IRS
There are a lot of scenarios that can get you in trouble with the IRS. At all costs, you must avoid getting on their bad side and you can do this with proper tax preparation when it’s time to pay your dues.
- It’s your dental practice and therefore, there are a lot of dental insurance schemes that your patients will have implemented. You need to ascertain these are not an adverse influence on your practice especially where taxation is involved.
- There are different deadlines for different assets when you are paying taxes for your practice. You must pay them out together at a date that is safely within all deadlines.
- Some of your assets qualify for tax relief and deductions, and some don’t. You must itemize effectively so that you get the maximum possible savings on your taxes.
- You need to ascertain that penalties are not imposed on your practice by the IRS on account of improper tax payments. Preparing for your taxes effectively can help you avoid this situation.
- Proper bookkeeping can help you keep track of all your financial transactions. CPAs are licensed professionals can handle this task best for you. You need an effective filing system which will come in handy during tax preparation.
- You need to present the yearly financial statement when paying your taxes and if there’s an error with the tallies, you can be audited. It is best to have a CPA draw your financial statement beforehand so you can make your payments effectively.
Help grow your dental practice
We understand that your dental practice has the potential to be lucrative. You can integrate with a clinic or turn your practice into a full medical center with additions to your team. This can be a daunting task if you are handling it all by yourself, especially when paying taxes which can make all the difference. Your best course of action is to have a CPA prepare for your taxes, assess the financial situation and advise on further prospects to help grow your practice into the success it deserves to be.