September 1, 2017
Selling your dental practice can be exhausting and complicated, especially when taxes are involved. Make sure you are not paying more than you need to be!
In an article from Dentistry iQ, author Michael Cerow writes, “One of the most important considerations every dentist should think about before signing on the dotted line is: what are the tax consequences of selling? No one wants to be surprised by post-sale financial responsibilities, especially taxes. It’s also important to get the most money for the practice, which is likely a dentist’s most valuable asset”.
In this article Cerow discusses:
- Tax fundamentals
- Maximize practice value
- How to minimize taxes when selling your practice
Cerow continues, “After selling your practice, your personal tax liability depends on your current tax situation (including filing status, additional income sources, deductions, and claimed dependents), plus consideration of both ordinary and capital gains income from the sale. Most dentists report income from the sale of their practice during the same year. That said, some practice sale income might be deferred based on the date of sales agreement and timing of payout”. If you are considering selling your dental practice, contact us for more information!
To read more, see the full article from Michael Cerow in Dentistry iQ.