Practices bill third-party payers at contracted rates, invest in clinical equipment and are often personal service corporations.
Revenue is recognized at the amount expected to be collected, net of contractual adjustments and implicit price concessions.
ASC 606; ASC 954-605
A QPSC may use the cash method regardless of gross receipts; status depends on activity and ownership tests applied each year.
IRC §448(d)(2)
Medical, dental and laboratory equipment is generally 5-year property; §179 and bonus elections determine the year’s deduction.
Rev. Proc. 87-56; IRC §179, §168(k)
Purchased patient records, goodwill and non-competition agreements are amortized over 15 years.
IRC §197
The differences between the two are Schedule M-1 adjustments.
And they are where examinations tend to look first.
Each industry has a knowledge pack that sits in the stable, cached part of every prompt, so most of its cost is incurred once per return rather than on every round. Knowledge packs are in development.
Capitalized earnings, separating personal from enterprise goodwill.
Stated as at November 2026 for general information only; not tax, legal or accounting advice. Rules change and their application depends on facts. NGTAX.AI currently prepares Form 1120 only; other forms listed are identified for the reviewing professional and may not yet be prepared by NGTAX.AI. See the disclaimer.
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