Take Extensions on Your Tax Return to Reduce the Odds of Being Audited

The idea is that the IRS has a general idea of how many tax returns it is going to audit each year.  As soon as returns are received, the IRS’s computer starts scoring them for review and possible audit.  The quota seems to be filled disproportionately early in the year.  While room is definitely left […]

2017 IRA Contributions Are Due April 17, 2018

This is a firm deadline and cannot be extended to October 15.  If you send the deposit by mail, the rule is that the day mailed is considered the day deposited.   But we need proof of the date mailed should the deposit not arrive on time.  We have the ability to avoid this proof-of-mailing problem, […]

Individual Health Insurance May Become Less Costly

Under Obamacare, individuals are required to have “minimum essential” (i.e., comprehensive and expensive) health insurance coverage or pay a penalty.  Insurance companies have been required to sell policies that made them bloated with features that consumers didn’t need or want but were nevertheless required to buy.  However, there have always been exceptions in Obamacare for […]

Permitted Discrimination Within a Qualified Small Employer Health Reimbursement Arrangement (QSEHRA)

We’ve covered this a great deal in the two years since these came into existence.  Questions about them continue, including, can we give different employees different reimbursements.  Not directly.  First, you must offer the QSEHRA to all employees who have (1) completed 90 days of service, (2) reached age 25, and (3) work full time […]

Business Meals Remain 50% Deductible After Tax Reform

In the February 1st Newsletter, we wrote that meal and entertainment expenses incurred in generating or maintaining referral sources have been eliminated.  This new restriction does apply for entertainment like ball games, theater and golf outings.  It does not apply for meals.  Business meals are still 50% deductible.  If, however, the meal is part of […]

“If I Own Two Separate Practices, Can I Have a Retirement Plan In Each and Double My $55,000 Maximum Plan Contribution?”

That question was posed at the recent Steamboat, CO seminar by a dentist who is in this situation.  Unfortunately, the answer is no.  If you own 100% of two practices, each, say, in its own corporation, then you have what the tax laws call a “controlled group.”  If that’s the case, then the employees of […]

Mission Trip Travel is Deductible

It probably goes without saying that if you provide dental or medical services in underserved countries, your transportation, lodging and meals will be deductible, though meals at 50%.  There are a few things to keep in mind.  First, the volunteer work must be for a qualified tax-exempt organization. The charity should confirm its status to […]

The Normal Two-Year Statute of Limitations for Malpractice Claims is Suspended Where the Doctor Fraudulently Withholds Relevant Information From the Patient

In a recent Georgia case, the patient’s case against her former prosthodontist was allowed to proceed even though the case was brought more than two years following the negligent treatment.  The patient required full mouth reconstruction with fixed implant prostheses.  The prosthodontist recommended that an oral surgeon extract certain teeth and replace them with implants, […]

What Do You Do if You Have a Partner Who Does Not Want to Buy You Out When You Get Ready to Retire?

Ideally, this should not be a problem as it should be covered in a buy-sell agreement.  But sometimes that doesn’t exist.  It’s possible this problem can arise because the junior partner is a bad person who calculates he can get the senior partner’s practice by default so why should he pay much for it.  But […]

Are You a Hostage to Your Possessions?

One of the nice things about being successful is that you can buy the things you want.  But for many of us, as we get a bit older, we look to simplify our lives.  One drawback of owning valuable things is that they can be expensive or difficult to take care of.  There are plenty […]