Medical practice owners regularly ask which costs are truly deductible on their taxes.
The bottom line is that the IRS allows deductions for ordinary and necessary expenses that help you run your practice.
Still, not every bill that arrives in your inbox is deductible, and the rules can be more subtle than you might think.
This guide will help you differentiate deductible expenses from non‑deductible ones, ensuring you retain more of your hard‑earned income.

Understanding the Tax Code
Section 162 of the Internal Revenue Code is the key provision governing medical practice deductions, allowing deductions for "any…expense…which is incurred in carrying on…a trade or business."
In medical practice terms, that means any expense that is both ordinary (common in your line of work) and necessary (helps you produce income).
The IRS differentiates some health‑related expenses, yet most standard practice costs fall neatly under Section 162.

Types of Deductible Expenses
Rent for your patient care area, staff meeting rooms, or medical record storage is fully deductible.
Utility bills (electricity, water, heating, internet, phone lines) that support the day‑to‑day operation of your clinic can be written off.
Office property taxes and insurance premiums are also deductible.
Medical tools, diagnostic devices, and computers directly employed for patient care are eligible.
Refillable items such as syringes, gloves, and other sterile supplies are deductible as they are considered ordinary and necessary.
High‑cost equipment may need to be depreciated over several years rather than expensed all at once.
Paying wages, bonuses, and commissions to doctors, nurses, technicians, and administrative personnel is deductible.
Employer contributions to health insurance, retirement plans, and other employee benefits count as business expenses.
Staff training and continuing education expenses that keep your practice current are also deductible.
Fees to state medical boards, licensing authorities, and specialty societies are deductible.
Membership fees for professional groups offering continuing education or networking are deductible.
Fees for legal and accounting services supporting compliance and financial management are deductible.
Expenses for brochures, business cards, website development, online advertising, and local media are deductible.
Marketing via social media, SEO, and patient outreach programs also count as ordinary expenses.
However, any personal or non‑business related advertising is not deductible.
Malpractice insurance is a critical deductible expense.
General liability, property, workers’ compensation, and cybersecurity insurance premiums are also deductible.
Health insurance premiums you pay for yourself as a self‑employed practitioner can be deducted as an adjustment to income.
Travel expenses for continuing education seminars, conferences, or to meet with suppliers can be deducted.
Business‑related meals—like a lunch with a potential collaborator—are 50% deductible.
Maintain detailed records to support these expenses.
Large purchases like MRI machines or surgical suites can be depreciated over a period of 7–10 years.
Depreciation schedules such as MACRS allow you to spread the expense over time and still receive a tax benefit.
Office consumables such as pens, paper, toner, and other items are deductible.
Software subscriptions, cloud services, and EHR systems are also ordinary business expenses.
Routine repairs that keep equipment operational—like fixing a broken X‑ray machine or repairing a broken bathroom fixture—are deductible.
Major renovations that change the structure of the office property are treated differently and may need to be depreciated.

What is NOT Deductible
Identifying what is not deductible is just as vital:
Personal costs—like meals with friends, personal travel, and non‑business hobbies—are not deductible.
Donations to political parties or campaigns are not deductible.
Fines and penalties: Penalties imposed by the IRS or other regulatory bodies are not deductible.
Cosmetic upgrades without direct business purpose may not qualify; a new paint job could be non‑deductible if purely aesthetic.
Some health‑insurance premiums: If you’re paid a salary and 確定申告 節税方法 問い合わせ also purchase health insurance separately, the portion that is not considered a business expense may not be deductible.

Tips for Keeping Records
The IRS loves good records. Here’s how to keep your books in order:
Separate Accounts: Maintain a dedicated bank account and credit card exclusively for practice expenses.
Receipts: Save every receipt, invoice, and statement. Digital scanning is fine—just keep the originals or copies in a secure folder.
Detailed Logs: For travel, meals, and equipment purchases, maintain a log with dates, purpose, and amounts.
Depreciation Schedule: Employ a spreadsheet or accounting software to monitor depreciation of substantial assets.
Annual Reviews: Review all expenses at year‑end against IRS categories to catch any missed deductions.

Strategies for Filing Taxes
Section 179 Deduction: Purchasing qualifying equipment may let you expense the entire cost in the purchase year rather than depreciating over time.
Bonus Depreciation: New tax law enables accelerated depreciation on selected assets, providing a larger early deduction.
Qualified Business Income Deduction: Eligibility for your practice could lower taxable income by up to 20%.
Account for COVID‑19 Credits: If you benefited from CARES Act or similar pandemic relief, verify you aren’t double‑counting deductions.

Consult a Professional When in Doubt
The tax code constantly evolves. A CPA or tax attorney specializing in medical practices can assist you:
Identify all possible deductions.
Structure your business entity (LLC, S‑corp, etc.) to maximize tax benefits.
Keep compliant with IRS rules to prevent audits.
Keep you up to date on new tax incentives for technology or patient care improvements.

In Summary
Deductible medical practice expenses are not merely tax savers—they reflect the necessities of delivering quality patient care.
By grasping deductible costs, keeping detailed records, and consulting a knowledgeable tax professional, you maintain financial health without sacrificing service quality.
Remember: a well‑managed deduction strategy is just as essential to your practice’s longevity as your clinical expertise.