The Extraction Ep 33: Tax Strategy vs CPA: What Every Dentist Should Know

How are ya?

I'm good.

Thank you so much for having me.

Yeah.

It's a pleasure.

Let's see if we can make tax strategy and advising interesting for about 20 minutes.

I'm sure we could.

And I'd like to start with the question we love to ask all of our guests.

How did you find yourself in the business of dentistry?

So I recently had a-- Well, three years ago, I had a very successful dentist come to me, making about a million dollars on a monthly basis, and now he makes about 1.5 monthly.

And three years ago, he had a 200 or a $250,000 tax liability, and I said, "This can't be.

You work so hard.

There has to be a way that I can help you reduce your taxes, so let me find a way." I started talking to my peers, my colleagues.

I partnered with another CPA firm, and I said, "Hey, this can't be right.

Let's see how we can help this kind dentist who works so hard, and we have to do something to reduce his liability." So it was a prior year that he owed about $250,000, and we couldn't go to change it.

We couldn't do anything to reduce his liability 'cause of the prior year.

But then we found advanced tax strategies to reduce his liability by a million dollars because we were proactive.

Yes, two years ago, we helped him save a million dollars in taxes, and then last year, same exact thing.

And I know most dentists would think that's skeptical, that's illegal.

And I talked to so many dentists, and I don't know what convinced them that they needed to pay taxes, because there are legal ways to reduce your taxable liability, and their dental CPAs are telling them otherwise.

I don't know why, but there are ways to reduce your liability.

So great foundation of background about how you found yourself in the business of dentistry.