LocumLife - February 2009 - (Page 7)

LocumLife Editorial Advisory Boards states, as all income and expenses should be reported to the resident state, regardless of location. STATE TAX PECULIARITIES It is also crucial to recognize that each state sets its own tax policy. There are a few states like Pennsylvania and Indiana that have flat tax rates (but varying local/municipal rates) and some like Texas that have no income tax. The majority of states have progressive brackets and require reporting data from the federal tax return to determine taxable income. In addition, many states allow deductions that may or may not be allowed on the federal return. For instance, Indiana allows a deduction for rent and New Mexico allows a deduction for medical expenses even when you cannot itemize these on the federal return. There are also various exemptions for investment and retirement income. Which state has the lowest tax rate? To answer this question, you need to understand that income taxes are not the only taxes to consider. There are property, sales, and real estate taxes, which make up the entire burden that you must pay. A number of entities, such as the Tax Foundation (see Resources box on facing page), rank states in this fashion. In the last 5 years, South Dakota has consistently been ranked as the state with the lowest tax burden. ESTIMATES Knowing how your business classification affects federal and state tax reporting is also necessary. For example, if you are self-employed or providing locum tenens services under a single member LLC structure, estimated quarterly tax payments are required not only for the federal return, but also for the state. Similar to the federal return, any substantial underpayment at the end of the year will result in penalties and interest. State and federal taxes are to be approached under a “pay as you go” quarterly method, not year-end catch-up. On the other hand, if you are operating as an S or C Corporation, there should be adequate withholding for income during the year and any end-of-the-year bonuses. GOOD RECORDKEEPING Keeping on top of paperwork is always essential. But if you earn income in multiple states, it is even more important to maintain good records as state tax authorities may occasionally request additional documentation. For instance, when claiming tax credits from payments to other states, some states require paper copies of the returns filed in other states even though paperwork was electronically filed. You also should be aware that states’ tax offices match addresses on federal returns to those filed in their states and may question non-residency claims. And more states are performing their own audits, instead of relying on audit reassessments from the Internal Revenue Service. www.LocumLife.com In their roles, EAB members communicate with our editorial staff as schedules permit, submitting story ideas and/or manuscripts, offering perspectives on a variety of topics, and agreeing to be interviewed for articles. By discussing issues or ideas with our staff, they assist LocumLife in creating a base of knowledge, experience, and insight for deﬁning and developing editorial content. PHYSICIANS Stephen M. Blatt, MD Linde Healthcare Mark J. Bolton, MD, MPH, MBA Weatherby Locums Greg Butler, MD Global Medical Stafﬁng, Ltd. Lynn Carlton, MD TeneCore, LLC Deborah Castine, MD Solvere, Inc. John Dusay, MD Registry of Physician Specialists Mary Gursal, DO Harris Medical Associates Ledro Justice, MD LocumTenens.com Herbert H. Keyser, MD Staff Care, Inc. Therus Kolff, MD, MPH Chairman of the Board, VISTA Stafﬁng Solutions Executive Board Member, Life Science Partner, Inc. John R. Langley, MD Jackson & Coker Frank Miller, MD VIERO Health Professionals Carlos Moreno, MD National Anesthesia Services Carlo Niguidula, MD Delta Locum Tenens Richard Noster, MD Easter Anesthesia Stafﬁng, Inc. William O’Brien, MD Catalina Medical Recruiters Frank J. Panettiere, MD Medical Doctor Associates, Inc. Armand Rigaux, MD National Healthcare Alliance Christopher Robinson, MD Independent Physician Consultant J. Arthur Saus, MD D&Y Ken Teufel, MD Interim Physicians, Inc. Karla Wild, MD Whitaker Medical William Yeaton, MD CompHealth STAFFING INDUSTRY David Baldridge President Locum Tenens Division CompHealth Salt Lake City, UT Christa Bartik Division Manager Interim Physicians, Inc. Atlanta, GA Susie Brown Chief Operating Ofﬁcer D&Y Huntsville, AL Tony M. Brown President Prime Staff Advanced Medical Divisions Houston, TX Joseph Brunson Managing Partner Rhino Medical Services Arlington, TX Daniel Burg President Locum Medical Group Cleveland, OH Sherri Carlton, CTS-PRC Executive Vice President Delta Locum Tenens Dallas, TX Melinda Chapman, CTS Vice President of Physician Services Millenia Physician Placement, LLC Houston, TX Patrick Donovan President Linde Healthcare St. Louis, MO Timothy P. Hand Chief Executive Ofﬁcer TeneCore, LLC St. Louis, MO Chuck Harris President Harris Medical Associates Suwanee, GA Phil Hodge Chief Executive Ofﬁcer Solvere, Inc. San Clemente, CA Jeffrey Keddy National Operations Manager Barton & Associates, Inc. Beverly, MA Pat Kennedy President Weatherby Locums Salt Lake City, UT Alan Lakomski, MBA Chief Operating Ofﬁcer Global Medical Stafﬁng, Ltd. Murray, UT Joseph Matarese Account Manager Medicus Stafﬁng, LLC Salem, NH Edward McEachern Vice President, Marketing Jackson & Coker Alpharetta, GA Pamela McKemie Senior Vice President LocumTenens.com Alpharetta, GA Phil Miller Vice President of Community Relations Staff Care, Inc. Irving, TX Jamey Morgan President Concorde Staff Source Milwaukee, WI Gloria Parrish Vice President, Marketing Medical Doctor Associates, Inc. Norcross, GA Joan Pearson, CMSR President Catalina Medical Recruiters, Inc. Phoenix, AZ Byron Frank Phillips President Maxim Physician Resources, LLC Dallas, TX Ruddy Polhill President and CEO HealthCare Partners Duluth, GA D.R. Richards Vice President Director of Radiology TIVA HealthCare, Inc. Sunrise, FL Carolyn Rose Vice President, Marketing and Strategy VISTA Stafﬁng Solutions Salt Lake City, UT Ginni Viscardi Executive Vice President National Healthcare Alliance Suwanee, GA Bruce Whitaker President and CEO Whitaker Medical, Ltd. Houston, TX HEALTHCARE ORGANIZATIONS Howard Greenﬁeld, MD Vice President of Corporate Development Sheridan Healthcare Sunrise, FL Sherise Layton Clinic Administrator Mid Valley Medical Group/ Mid Valley Hospital Omak, WA Fred Mack Director of Physician Recruitment Cancer Treatment Centers of America Tulsa, OK William J. Sweat President Delta Radiology Group St. Louis, MO Nominations Stafﬁng company representatives interested in nominating members for any of our editorial advisory boards may contact LocumLife’s editorial ofﬁces. FEBRUARY 2009 LocumLife 7 http://www.LocumLife.com

Table of Contents Feed for the Digital Edition of LocumLife - February 2009

LocumLife - February 2009 Editorial Insights Contents From Nalto Stat! Money Matters Resources Last-Minute Luxury Opening the Door Med Ec-cerpts Winning the Battle Career Center Advertisers' Index Opportunities Direct Residency Corner Destinations Contest Rules Anyone's Guess La Vita Locum

LocumLife - February 2009

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