Yes, medical software qualifies for possible write-off up to $500,000!
It’s that time of year to consult with your tax preparer or accountant to see what office deductions may be possible for the 2016 calendar year. If you haven’t purchased your Lytec upgrade or transitioned over to the CureMD PM/EHR software yet, you better get moving!
India’s biggest auto media vehicle. CarWale has dependably endeavored to serve auto purchasers and proprietors in the most thorough and helpful way imaginable upcoming cars. We give a stage where auto purchasers and proprietors can examine, purchase, offer and meet up to talk about and discuss their autos.
What is the Section 179 Deduction?
Most people think the Section 179 deduction is some mysterious or complicated tax code. It really isn’t, as you will see below.
Essentially, Section 179 of the IRS tax code allows businesses to deduct the full purchase price of qualifying equipment and/or software purchased or financed during the tax year. That means that if you buy (or lease) a piece of qualifying equipment, you can deduct the FULL PURCHASE PRICE from your gross income. It’s an incentive created by the U.S. government to encourage businesses to buy equipment and invest in themselves.
Several years ago, Section 179 was often referred to as the “SUV Tax Loophole” or the “Hummer Deduction” because many businesses have used this tax code to write-off the purchase of qualifying vehicles at the time (like SUV’s and Hummers). But, that particular benefit of Section 179 has been severely reduced in recent years, see ‘Vehicles & Section 179‘ for current limits on business vehicles.
Today, Section 179 is one of the few incentives included in any of the recent Stimulus Bills that actually helps small businesses. Although large businesses also benefit from Section 179 or Bonus Depreciation, the original target of this legislation was much needed tax car featuresrelief for small businesses – and millions of small businesses are actually taking action and getting real benefits.
Essentially, Section 179 works like this:
When your business buys certain items of equipment, it typically gets to write them off a little at a time through depreciation. In other words, if your company spends $50,000 on a machine, it gets to write off (say) $10,000 a year for five years (these numbers are only meant to give you an example).
Now, while it’s true that this is better than no write-off at all, most business owners would really prefer to write off the entire equipment purchase price for the year they buy it.
In fact, if a business could write off the entire amount, they might add more equipment this year instead of waiting over the next few years. That’s the whole purpose behind Section 179 – to motivate the American economy (and your business) to move in a positive direction. For most small businesses, the entire cost can be written-off on the 2016 tax return (up to $500,000).
Limits of Section 179
Section 179 does come with limits – there are caps to the total amount written off ($500,000 for 2016), and limits to the total amount of the equipment purchased ($2,000,000 in 2016). The deduction begins to phase out dollar-for-dollar after $2,000,000 is spent by a given business, so this makes it a true small and medium-sized business deduction.
Who Qualifies for Section 179?
All businesses that purchase, finance, and/or lease less than $2,000,000 in new or used business equipment during tax year 2016 should qualify for the Section 179 Deduction.
Most tangible goods including “off-the-shelf” software and business-use vehicles (restrictions apply) qualify for the Section 179 Deduction. For basic guidelines on what property is covered under the Section 179 tax code, please refer to this list of qualifying equipment. Also, to qualify for the Section 179 Deduction, the equipment and/or software purchased or financed must be placed into service between January 1, 2016 and December 31, 2016.
The deduction begins to phase out if more than $2,000,000 of equipment is purchased – in fact, the deduction decreases on a dollar for dollar scale after that, making Section 179 a deduction specifically for small and medium-sized businesses.
What’s the difference between Section 179 and Bonus Depreciation?
Bonus depreciation is offered some years, and some years it isn’t. Right now in 2016, it’s being offered at 50%.
The most important difference is both new and used equipment qualify for the Section 179 Deduction (as long as the used equipment is “new to you”), while Bonus Depreciation covers new equipment only.
Bonus Depreciation is useful to very large businesses spending more than the Section 179 Spending Cap (currently $2,000,000) on new capital equipment. Also, businesses with a net loss are still qualified to deduct some of the cost of new equipment and carry-forward the loss.
When applying these provisions, Section 179 is generally taken first, followed by Bonus Depreciation – unless the business had no taxable profit, because the unprofitable business is allowed to carry the loss forward to future years.
For more information: IRS Website: click here
Section 179 Website: click here
Onsite HIPAA audits coming in 2017: ONC official
Chances are it won’t happen—but you’d better be prepared if it does: The feds will be conducting a “small number” of onsite HIPAA audits in 2017, according to an HHS Office for Civil Rights official.
showbox apk for iphone
OCR senior adviser Linda Sanches, at the Healthcare Information and Management Systems Society Privacy & Security Forum in Boston this week, explained what healthcare leaders can expect from the process, according to Healthcare IT News.
“We’re looking for evidence that you are implementing the policies and procedures,” Sanches told the audience. “Two huge problems we’re seeing are implementation of risk analysis and risk management.”
HIPAA privacy audits were put on hold last year as the agency developed its phase 2 policy. This spring, HHS posted a new HIPAA audit protocol.
OCR will look “at risk analyses and risk management, notices of privacy practices and access and response to requests for access, and content timeliness of notifications,” OCR Director Jocelyn Samuels said at the time.
Currently, more than 200 desk audits are ongoing—most of them focused on providers, Sanches said, according to Healthcare IT News.
The best tool for your A/R challenges
MediPro, Inc. has partnered with BillFlash for years. It has a tight integration with Lytec and CureMD software solutions while continuing to develop progressive patient statement and payment technology. Easy to enroll, quick set up and commanding results.
To learn more, click here or contact us at 1.800.759.1321 opt 2
MGMA Survey of Operations in Medical Practices Shows an Increased Focus on Patient Experience
Survey analyzes how practices adjust their operations as patients have more choices for care, including improving wait times, office hours, appointment scheduling, financial management, and patient portals
New Medical Group Management Association (MGMA) (@MGMA) data find that medical practices focus on patient experience and access as patients face more options in how their care is delivered. The first-of-its-kind Practice Operations Survey analyzes a range of important benchmarking data that’s never been available before, including patient portals usage, wait times, call volumes, hours of operation, appointment length, scheduling and other nuts and bolts of running a medical practice.
“From what time the doors open to how long a patient waits in an exam room, operations affect a practice’s bottom line as well as its ability to deliver quality care to patients,” said Dr. Halee Fischer-Wright, MD, MMM, FAAP, CMPE, President and CEO of the Medical Group Management Association. “As patients increasingly have more options for receiving care, it’s essential for practices to have benchmarking data to identify tactics that best improve patients’ experiences.”
The survey shows that practices concentrate efforts on gathering information about their patients’ experiences to guide improvement of operations. The data found that 85 percent of practices conduct patient satisfaction surveys, and of those, more than 70 percent conduct them at least monthly if not more frequently.
Many of the operations metrics in the new survey focus on patient access. For example, of all responding practices, the MGMA data show that 61 percent of practices have taken action to improve wait times. Practices report median wait times between 10 and 15 minutes for time spent in the waiting area.
These findings further underscore the results of an MGMA Stat poll – a real-time, text-based polling initiative – from April of more than 100 health professionals finding that more than 80 percent of the respondent practices changed or were in the process of changing processes to improve patient access.
The data show that few practices report having extended hours on the weekends – 26 percent are open to patients on Saturdays and 11 percent on Sundays. Of those practices that are open on the weekends, nearly all are either primary care or multispecialty practices with just a handful of surgical specialty practices. Additional patient access measures in the data include wait for a scheduled appointment, call volumes and responsiveness, length of appointment times, number of appointment slots per day and percentage of same-day appointments.
Patient portals also show variations: Practices report that patients utilize online portals most for accessing test results, regardless of specialty: generally more than 10 percent. Primary care practices also report a higher percentage use of patient portals for communication with providers and medical staff compared to other specialties.
The MGMA data also look at management aspects of operations, including frequency of collecting patient balances at time of service, establishing and monitoring an annual budget, limiting patient no-shows, managing employee turnover and satisfaction, and improving billing functions.
The survey found that nearly 25 percent of medical practices do not create an annual budget. Of the three quarters of practices that do create an annual budget, the vast majority compare their year-to-date status relative to their budget on a monthly basis.
“An annual budget is critical to every practice’s preparations for the upcoming year as it projects the revenue that will be available to support practice activities, defines future staffing levels, and most importantly forecasts the bottom line for the practice and its owners a year in the future,” said David Gans, FACMPE, MGMA senior fellow industry affairs. “Despite the value of having a tool to manage ongoing activities and minimize the impact of unfavorable conditions, these data confirm what we’ve observed, that many practices across the country don’t understand the value they can derive from preparing an annual budget. That’s why MGMA provides guidance how to create a budget that is tailored to a practice’s needs and the best ways to use it to bring actuals in line with projections.”
The Practice Operations report is based on information provided by 791 practices across the country and is available to purchase here.
SOURCE: RCM Answers | 11/7/16
Here We Go Again…
Meg Bryant over at Healthcare Dive reports that CMS released an API tool to ease MACRA reporting.
- The Centers for Medicare & Medicaid Services launched an online tool enabling clinicians to automatically share electronic data for the Quality Payment Program.
- The tool is the first in a series of efforts aimed at easing the burden of participating in the program, according to the agency.
- Last month, CMS launched a QPP website to help physicians and other providers understand and navigate the new program.
With the application program interface tool, developers can write software for quality measures listed on the QPP website. CMS created an earlier tool, Explore Measures, so that clinicians could choose appropriate measures, assemble them into a group and save or print them for reference later.
The American Academy of Physicians and other groups praised the new online tool.
CMS published its QPP final rule, which implements the Medicare Access and CHIP Reauthorization Act (MACRA), on Oct. 14. In June, HHS announced a five-year, $100 million funding initiative to help small physician practices prepare for the program. Organizations awarded funding will assist practices in deciding which quality measures or EMRs best suit their needs and other issues related to QPP success.