Dental CPA | Converting to a Hybrid Dental Practice

Dental CPA

Your practice may have undergone many changes to stay afloat during this unprecedented time. Plastic shields, PPE, temperature checks, and more have been implemented to comply with guidelines recommended by the CDC and ADA. Many dentists have been wondering how else they can grow their revenue. At Ash Dental CPA, we recommend going hybrid! Learn what a hybrid practice is and how you can do it too.

What is a Hybrid Practice?

A hybrid practice operates in-person and virtually. This includes the staff and patients! How? Not all staff members need to be present. For example, the appointment coordinator can easily work from home. Likewise, those who manage the billing and scheduling can also work from home. The dentist can utilize telehealth platforms to meet new patients interested in elective procedures. Those who decide to move forward with the procedure can then schedule an in-person exam to finalize the details of the procedure and cost.

How Does A Hybrid Practice Fit My Bottom Line?

Consult with your dental CPA. He or she will review your financial health and current work structure. Upon their findings, they’ll make recommendations on how your practice can successfully convert to a hybrid structure. We highly recommend exploring this route to assure your short and long term financial goals are met. 

For instance, dentists are able to meet with more potential patients with telehealth. This platform allows them to introduce themself and their practice, while discussing potential treatments the patient may consider. In other words, telehealth allows you to expand your reach and brand more personally. And if you schedule your telehealth appointments right, your practice will operate more smoothly while reducing in-person consultations and lost time.

What Consultations Should I Offer Virtually

Many dentists offer similar services. If you offer Invisalign, this would be a great opportunity. You can meet with prospective new patients virtually to discuss what Invisalign is, how it works, and what to expect. Additionally, many patients may have questions that they want answered before they step into an office. Therefore, this virtual consultation benefits both parties. Other great consultations are teeth whitening, dental implants, veneers, braces, and CEREC. These procedures require a lot of patient trust and education, making them perfect for virtual consultations

How Can I Get Started?

Schedule a consultation with Ash Dental CPA. We have over 20 years of experience assisting dentists and their unique practices. We’ll discuss how converting into a hybrid practice can benefit your goals. Call (508) 458-6789 or book online today!

CPA for Dentists | Contact Ash Dental CPA

CPA for Dentists 

Dentists have a unique business dynamic. That’s why hiring a professional CPA for dentists is essential. In fact, Ash Dental CPA has been assisting dentists for over 20 years. Our office offers a wide range of services including accounting, bookkeeping, practice purchase/sell, practice incorporation, tax planning, tax preparation and filing, and much more! We are located in Framingham, Massachusetts, and serve dentists nationwide.

Learn more about why hiring a CPA for dentists benefits your practice and how we can best serve you. 

Why You Should Hire a CPA for Dentists

Becoming a CPA requires education and general training. However, when a CPA chooses to specialize in a particular industry, professionals of that industry benefit the most. That’s because the CPA has dedicated and completely immersed themself into knowing the industry and market trends thoroughly. For example, a CPA for dentists is knowledgeable of current market trends, financing laws, industry-specific challenges and solutions, and more. In other words, a CPA for dentists is as essential as any other staff member of your practice.

How Does Ash Dental CPA Assist Dentists?

As mentioned above, Ash Dental CPA has been helping dentists succeed for over 20 years. Our firm has helped dental professionals overcome a variety of financial challenges. If you are a recent graduate and hope to one day manage your own dental practice, hiring a CPA for dentists is recommended. Likewise, a more established dentist with numerous offices needs a CPA for dentists. A professional that fully understands the unique dynamics of managing several practices.

At Ash Dental CPA, our team is committed to staying up to date on marketing trends, tax law changes, industry challenges, and more.  Below is information on our most popular services and how they benefit your practice and financial goals. Moreover, contact us to learn more.

Accounting

Every dentist has short and long term financial goals. With our accounting services, we will help you understand your current financial health and how to improve it. In addition, we will guide you through any decision-making like acquiring a new practice to assure it is in your best financial interest.

Bookkeeping

Manage your cash flow with bookkeeping that’s designed for dentists. We will be sure your accounts payables and receivables are maintained, bank accounts are reconciled, payroll is processed on time, financial reports and balance sheets are generated, and more. Overall, by maintaining your bookkeeping and accounting under one roof, other services such as tax planning and filing run more efficiently.

Tax Planning, Preparation, and Filing

In short, tax planning offers insight into what your tax obligations are likely to be. By planning ahead, your CPA for dentists can help you navigate your money to benefit from tax-saving techniques. Additionally, your bookkeeping maintenance will make filing your taxes easy and less stressful.

Tax Audit Representation

Should you or your practice receive a state or IRS tax audit notice, contact us. We offer tax audit representation to protect you and your assets.

Purchasing and Selling Your Practice

There are several steps involved in purchasing and selling a practice. It is always recommended to seek guidance from a CPA for dentists before moving forward with the transaction. For example, there are many situations when the purchase or sale is not the best for a dentist and their financial goals. Or, it could be a great decision but must be made under certain circumstances to assure a lucrative outcome. 

Learn More

These services are just the tip of the iceberg. Learn more about how we customize all of our services to each client’s needs. Call (508) 458-6789 or book online today!

What is the Difference Between Deductions and Credits?

Tax Deductions and Credits

Deductions and Credits

Now that we’re in a new year, you may have many things on your mind. If you’re a business owner, you may be concerned about taxes, as April 15 will be here before you know it. As you work on your taxes, you may see two terms pop up: deductions and credits.

Both decrease the amount of tax owed. However, they are not the same because they work to decrease your tax bill in different ways. There are some important differences between these two terms, and it’s important that you understand why they are different. They could help you in various ways come tax time, but you need to know how to best use them to your advantage and make sure you’re not missing out on a much-needed tax refund.

What is a Credit?

A credit is often seen as better than a deduction because a credit directly affects the amount of tax you owe. For example, credits are available for married couples, those with children, those who adopt, those who go to school, etc. The list goes on. If you receive a $5,000 credit, then you owe $5,000 less on your tax bill. It’s as easy as that.

Some credits can be refundable. For example, if you owe $3,000 but then have a $5,000 credit, you can reduce your tax liability to zero, and then receive the refund balance, meaning you would be owed $2,000.

What is a Deduction?

A deduction is different from a credit in that it does not directly lower your tax liability. Instead, it decreases your taxable income. However, by taking deductions, you can put yourself in a lower tax bracket and therefore owe less in taxes, which is how a deduction can be similar to a credit. 

Unlike a credit, though, a deduction does not lower your liability by the full amount. If you have a $1,000 deduction, for example, and you’re in the 25% tax bracket, your liability will be reduced only by $250 rather than $1,000. 

Deductions lower your taxable income, but unlike some credits, they do not allow you to get money back. However, deductions are versatile in that there are many ways in which you can use deductions. You can deduct education expenses, daycare, medical expenses, mortgage interest, and charitable contributions. If you own a business, you can deduct many other expenses as well, such as office supplies, equipment purchases, payroll and communication expenses. However, if you don’t have many deductions, then it may be better to take advantage of the standard deduction given to taxpayers. 

Contact Ash Dental CPA

Tax law can be complicated. As a practice owner, your focus should be on increasing patients and revenue, not worrying about deductions and credits. Let the professionals at Ash Dental CPA take care of your tax woes. We can handle your taxes and accounting so you can focus on helping your dental practice grow. To learn more, call (508) 458-6789 or fill out the online form. 

What Happens if My Practice is Audited by the State?

State Audit

State Audit | As the owner of a dental practice, you have a lot on your mind, especially this time of year, with taxes due soon. You may breathe a sigh of relief once you do your taxes and file them with the state and IRS. But that relief may turn to fear when you find out that you’re being audited. Nobody – whether they are an individual or a business – wants to go through a state audit. If an auditor finds that you intentionally lied on your tax return in order to pay less money, you could be fined and even put in jail.

The good news is that fewer than 2% of businesses get audited, so it’s not a common occurrence. If you do get chosen for a state audit, you can survive it as long as you are well-prepared. Your goal is to convince the IRS that your dental practice submitted accurate records and that you were in fact entitled to the deductions you took. It’s not an easy task, but here are some tips that can help with a state audit.

Survival Tips for a State Audit

If you have been chosen for a state audit, the first thing you should do is postpone it. Ask for more time to get records in order. This helps you get everything you need so you don’t have to rush around.

Make sure you gather all relevant records. If you’re missing a receipt, you can reconstruct it.

Don’t say too much. Just answer the questions you are asked. Do not volunteer any more information than absolutely necessary for the state audit.

Do your research. If you’re unsure about a tax law, read up on it. If you’re still not sure, consult with a tax expert.

Know your rights. The auditor must treat you with respect. Discuss any unfair behavior with the auditor’s manager. If the auditor mentions tax fraud, consult with a tax professional or lawyer. 

What Can You Expect?

More than likely, you will have to pay some sort of penalty or fine. Don’t expect a state audit to go in your favor. There are three main outcomes. 

1. The auditor verifies that all information is correct. This means that everything on your tax return was accurate. There will be no change and you won’t owe any additional taxes. This is rare, but it can happen.
2. The auditor finds a mistake, and you agree. If you acknowledge the mistakes that the found, you might have to pay additional taxes, as well as penalties and interest.
3. The auditor finds a mistake, and you disagree. If you disagree with the auditor’s findings, you can or sue the IRS in court.

Learn More

Nobody wants to hear that they are being audited. They may feel scared and embarrassed. If your practice is being audited, the professionals at Ash Dental CPA can help you pass with flying colors. We offer audit defense and other services so you can focus on what matters most to you – your dental practice. To learn more, call (508) 458-6789 or fill out the online form.