Do I Really Need a Medical Accountant?

If you’ve recently opened a new medical facility or are looking to do so shortly, colleagues may have told you that it’s worth seeking out the services of a medical accountant. Perhaps you’ve wondered if this is necessary. After all, don’t all accountants come with the same set of skills? Why do I need a specialist accountant? What advantages do they offer me?

Well, as it turns out, plenty. Medical professionals have unique tax requirements, particularly those who own their practice. Using medical accountants can help you navigate the complex taxation system for short and long-term financial success.

Business start-up

A medical practice is a business and needs to be treated as such. While your number one concern is the health and wellbeing of your patients, there are certain decisions you can make from a business and financial perspective that will help facilitate this, particularly in the early days of your practice.

Tax accountants that specialise in the medical industry can help guide you through these important decisions to ensure you’re set for long-term success.

Tax compliance

As a medical specialist, you no doubt have a lot on your plate. Add tax compliance — including tax returns, activity statements, and PAYG — and there’s every chance that things will begin to slip through the cracks.

Working with a medical accountant means completing your tax return is no longer your concern. Even better, you don’t have to worry about actually understanding the tax implications of your income and expenditure. Simply leave it to the professionals and get back to doing what you do best — treating patients.

Tax planning and strategic advice

The Australian Taxation Office defines tax planning as ‘the right to arrange your financial affairs to keep your tax to a minimum.’ Tax planning can offer significant savings, provided that you conduct your activities within the scope of the law. The ATO does monitor these types of activities closely so it’s best only to engage in tax planning if you know what you’re doing.

Medical accountants can provide strategic advice to help you maximise your tax return whilst also meeting all legal obligations.

Small business offsets and grants

The Australian Government offers a range of small business offsets and grants, some of which your medical practice may be eligible for. Many medical professionals who double as business owners are not even aware of these opportunities, but they can represent significant savings.

Medical tax accountants can advise you on relevant grants and offsets as well as submitting applications and keeping track of all the required documentation.

Succession planning

There comes a point in every professional’s life when it’s time to start thinking about retirement. For a medical professional who owns their own practice, this is quite a complex process. Will you look to merge your practice with another? Is there someone who is interested in buying the business outright? Or would you prefer to liquidate?

Whatever the case, medical accountants can provide tailored and expert advice to ensure all stakeholders emerge from the process in the best position possible.