Tax Help for Doctors and Dentists with Small Practices in Houston
Running a small medical or dental practice in Houston, Clear Lake, League City, Pearland, or nearby areas comes with unique challenges — and tax planning is one of the most critical. Doctors and dentists with small practices often face complex tax rules, from managing payroll and business expenses to understanding deductions and retirement planning. Expert tax help can make a significant difference in your bottom line and keep your practice financially healthy.
Why Doctors and Dentists Need Specialized Tax Help
Medical and dental professionals have unique income streams and expenses that require careful attention during tax preparation. Some common tax issues small practices face include:
Tracking deductible business expenses such as medical supplies, equipment, office rent, and staff salaries
Handling multiple income sources, including patient payments, insurance reimbursements, and ancillary services
Managing payroll taxes and employee benefits
Understanding tax implications of retirement plans, including SEP IRAs and 401(k)s
Navigating depreciation rules for expensive medical or dental equipment
Key Tax Strategies for Medical and Dental Practices in Houston
1. Maximize Business Expense Deductions
Doctors and dentists should keep detailed records of all practice-related expenses. Common deductible expenses include medical supplies, lab fees, continuing education, professional licensing, office rent, utilities, and marketing costs.
2. Leverage Retirement Plans to Reduce Taxes
Setting up retirement plans like SEP IRAs or Solo 401(k)s can help reduce taxable income while preparing for the future. Many small practices in Houston benefit from these tax-advantaged retirement options.
3. Consider the S Corporation Election
Electing S Corporation status for your practice can help reduce self-employment taxes by allowing you to split income between salary and distributions, provided you pay yourself a reasonable salary.
4. Plan for Estimated Tax Payments
Doctors and dentists often need to make quarterly estimated tax payments to avoid penalties. Staying on top of these payments keeps your practice compliant and avoids costly surprises at tax time.
5. Take Advantage of Section 199A Qualified Business Income Deduction
If eligible, small medical and dental practices can claim up to 20% deduction on qualified business income, lowering overall taxable income.
How Clear Lake Taxes and Bookkeeping Supports Houston Medical and Dental Practices
At Clear Lake Taxes and Bookkeeping, we understand the unique tax needs of doctors and dentists with small practices. Our team specializes in tax planning and preparation tailored to medical professionals in Houston, Clear Lake, League City, Pearland, and beyond.
We work closely with you to identify all possible deductions, optimize your tax strategy, and ensure compliance with federal and Texas tax laws—helping your practice keep more of what you earn.
If you’re a doctor or dentist running a small practice and need expert tax help, schedule a consultation with Clear Lake Taxes and Bookkeeping today!
