• Healthcare Tax Advisory

Finding benefits in shifting regulations.

Tax rules have changed more in the past five years than in the past 50, and it appears there’s no end in sight: More than one in four (26%) tax executives are focused on adjusting to continued guidance on federal tax reform changes, according to BDO’s Tax Outlook Survey.
 
For healthcare leaders, on top of navigating an industry converging from all sides, they must navigate a troika of tax challenges: 1) keeping track of constantly shifting federal, state and local regulations, 2) mapping the impact of those regulations on the company’s total tax liability and 3) adjusting their tax optimization strategies across the entire enterprise. Additionally, the industry is facing rising liquidity challenges and growing concerns around reimbursement, including those stemming from the Tax Cuts and Job Act’s repeal of the individual mandate. The repeal increased healthcare organizations’ uncompensated care risk and still leaves federal, state and local levels of reimbursement in the lurch.
 
Healthcare executives need a holistic, real-time view of their organization’s total tax liability to maximize tax savings opportunities. At BDO, we advise on key tax reform issues for healthcare, whether it involves the impact of tax reform, forecasting taxable income in the context of a transaction, navigating state and local taxes or understanding opportunities for R&D tax credits or bonus depreciation.
 
OUTCOMES
  • Understand and adapt to changes prompted by the new tax law
  • Anticipate additional IRS guidance to ensure favorable outcomes to total tax liabilities
  • Account for new tax provisions, including GILTI, FDII, and BEAT
  • Adapt to changes to employee fringe benefits
  • Securing R&D tax credits