Quick Tax Tips for Practice Owners

1. If you paid $600 or more during the 2012 calendar year for services related to your practice to an individual or partnership, you must issue a 1099-MISC form to them by January 31 2013. Payments to corporations do not require a 1099.

2. If you received rental income, and are a single filer with income of over $200,000 or a married couple with combined income of $250,000 or higher, starting in 2013, there is an added 3.8% Medicare tax.

3. Mile rate deductions for 2012 – .55cents for business, .23cents for medical and moving, and .14cents for charity.
Mile rate deductions for 2013 – .56cents for business, .24cents for medical and moving, and .14cents for charity.

4. Business travel – ravel expenses for a dependent, spouse or other individual accompanying you are not deductible unless that person is a bonafide employee of your practice.

5. The value of your time is not deductible when it is provided for a charity event or benefit of a non profit organization.

Advance notice  for 2013:  The IRS is making it easy to take a tax deduction for a home office.  Check out the NYTimes article detailing this.

This article is for informational purposes only. It does not replace consultation with your accountant or business advisor.
Iris Kimberg MS PT OTR  infonytherapy@aol.com

 

 

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