Doctors have a tendency to get so caught up in their patient’s lives that they forget about the big tax deductions they can take advantage of. Many doctors are needlessly overpaying taxes by thousands of dollars per year simply by not being aware of the tax write-offs available to them. The good news is that at SG Inc CPA, we are familiar with all of the tax saving strategies for doctors and have helped many maximize their deductions within the law.
Tax Deductions for Doctors: 7 Tips for Medical Professionals (IRS-Compliant)
- Continuing Medical Education (CME)
Registration fees for seminars, medical conferences or training programs can be written off as a business expense as can your travel, lodging and food expenses. Make sure to get receipts and proof of attendance.
- Medical Equipment and Supplies
Everything from surgical equipment to stethoscopes can be written off. This also includes computers or tablets if used for patient charting or telehealth services.
- Professional Membership Dues
Membership fees for any medical association or specialty board can be deducted as long as they are directly related to your practice.
- Home Office Deduction
If you use a portion of your home exclusively for work (administrative work or patient-based work) then you can write off square footage, internet and utilities.
- Malpractice Insurance
The one of the biggest expenses a doctor incurs, this is 100% deductible.
- Staff Salaries and Employee Benefits
Any staff salaries and benefits you pay can be deducted including payroll taxes, health benefits and retirement plan contributions.
- Medical Travel
Travel mileage between locations, hospitals or clients can be deducted as can any lodging expenses. You must keep a detailed log of business purposes and miles.
The Proper Way to Legally Claim These Tax Deductions for Doctors
The key to successfully claiming these deductions (as well as any others) is being fully IRS-compliant. A good way to make sure all of your deductions are 100% legal is to:
- Stay organized with records
- Keep all receipts and log books
- Consult a CPA for Doctors (SG Inc CPA)
Conclusion
If you are missing even one of these deductions, you could be needlessly overpaying thousands of dollars. SG Inc CPA can show you how you can pay less taxes and stay within the law.
