Q: What is the advantage to forming a Professional Association?
A. By forming a Professional Association, you may avoid paying state franchise taxes.
Q: Who can form a Professional Association?
A. Under the Texas Professional Associations Act, any person licensed in Texas to practice a profession, including doctors of medicine, osteopathy, podiatry, dentistry, optometry, therapeutic optometry, chiropractic, or veterinary medicine may form a professional association.
Q: As a doctor, can I own an interest in a business that provides services ancillary to mine?
A. Although the Stark Law prohibits a physician from referring Medicare patients for certain designated health services to entities in which the physician has a financial relationship, there are exceptions available. Ownership exceptions include group practice settings, qualified in office ancillary services, rental of office space or equipment, bona fide employment relationships, fair market value arrangements, non-monetary compensation exchanges, medical staff incidental benefits, personal services arrangements and physician recruitment. Prior to acquiring an ownership in an ancillary service, Waldron & Schneider recommends you consult with an attorney to ensure compliance the Stark II regulations.