by Jessica Tremayne, Contributing Editor at Veterinary Practice News 

While current tax law allows for healthy deductions on purchases and bonus depreciation, accountants say making a purchase solely for a tax write-off is not a good idea. However, if a purchase is inevitable, this year is the time for it as ever-changing tax laws may mean fewer write-offs starting in 2012.
“The benefit that awaits a veterinarian is not the tax savings on the purchase of capital equipment, although that is a great perk for consummating the transaction,” says Mark McGaunn, CPA/PFS, CFP, a managing member of McGaunn and Schwadron CPAs LLC, in Needham Heights, Mass. 
“The benefits to be gained are the potential additional revenues to be generated, the additional skills and responsibilities that doctors and other staff can learn, making each more valuable, and ultimately the increased level of care that can be rendered to a patient base wanting or needing the additional dynamic the purchase will bring to the veterinary practice.
“I always like to be cognizant of the financial rewards that follow large capital investments in a practice, but it’s the intangible and hard-to-measure soft rewards that may yield greater dividends. Waiting to make the purchase may delay these potential dividends.”
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Avoid Mental Taxation: Plan Ahead on Major Purchases as seen in Veterinary Practice News