As chiropractors, you invest your time and energy in improving the health and well-being of your patients. You’re busy, and the last thing you want to think about it TAXES.
Which is why there’s an incredible tax credit available for chiropractors that largely goes unclaimed… meaning you may have GREATLY overpaid on your taxes!
Don’t be depressed though, because the IRS still owes you that money.
This opportunity is the federal research and development (R&D) tax credit, a chance for chiropractors to offset tax liabilities and unlock potential tax savings. It’s the immensely profitable chiropractor tax credit no one told you about!
WHAT IS IT?
The federal R&D tax credit allows chiropractic practices to claim a dollar-for-dollar reduction in their tax liabilities for qualifying domestic expenses. These expenses encompass the design, development, or improvement of products, processes, software, formulas, or techniques. Fortunately, this credit, outlined under Section 41 of the Internal Revenue Code, is available to all organizations engaged in activities to enhance their services, procedures, or patient care.
The good news is that most chiropractic practices qualify for R&D tax credits! Whether you are researching new treatment techniques, improving patient outcomes through innovative methods, or developing cutting-edge software for managing patient records, you could be eligible.
The Protecting Americans from Tax Hikes (PATH) Act of 2015 has expanded accessibility to the credit, particularly for small-to-midsize chiropractic businesses, making it easier to monetize your R&D efforts.
THE SIMPLE WAY TO CLAIM THEM
As a chiropractic practice, claiming R&D tax credits might seem complex. However, we are here to guide you through the process. To claim the credit, you will need to fill out IRS Form 6765, Credit for Increasing Research Activities. This form requires you to identify qualifying expenses and provide adequate documentation to support your eligibility.
Our expert team will help you compile financial records, business documentation, and technical materials to streamline the filing process.
WHAT YOU CAN CLAIM
R&D tax credits allow you to apply 6% to 8% of your annual qualifying R&D expenses directly against your federal income tax liability. But what qualifies as a qualifying expense for chiropractic practices?
Here are some examples:
1. Researching and developing new chiropractic techniques or protocols.
2. Improving existing treatments for better patient outcomes.
3. Investing in software for patient management and treatment tracking.
4. Hiring qualified staff engaged in R&D activities.
5. Exploring innovative ways to enhance patient care and experience.
GETTING THE MONEY OWED YOU
Here’s a remarkable opportunity: if you missed claiming R&D tax credits in previous years, fear not! Chiropractic practices can retroactively claim the credit by filing amended returns for any open tax years, typically up to three years.
If you overpaid taxes during those years, you could receive a refund from the IRS, putting money back into your practice’s pocket.
We’ve helped some practices get back as much as $100k!
WE’RE HERE TO HELP
At Quartermaster Tax Management, we are committed to helping chiropractic practices unleash their tax-saving potential. Our unparalleled combination of experience, technology, and resources makes the process of claiming tax credits simple, streamlined, and predictable. We maintain strong relationships with government agencies and continuously monitor changes in legislation and compliance requirements to provide proactive support and audit assistance.
As you invest in the health and well-being of your patients, don’t overlook the opportunity to invest in your chiropractic practice’s financial health as well. The R&D tax credit is a powerful tool that can significantly reduce your tax liabilities and provide substantial savings.
By partnering with Quartermaster Tax Management, you can confidently navigate the complexities of claiming chiropractor tax credits and discover hidden refunds by retroactively claiming credits from previous years. Unlock the full potential of your chiropractic practice with tax benefits designed to support your growth and innovation.
*Disclaimer: This blog is for informational purposes only and does not constitute professional tax advice. Consult your tax advisor or Quartermaster Tax Management for personalized guidance.*chiropractor tax credit
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