Exempt Organization CPE TextMarch 26th, 2009 | Income Approach & Methods | Regulatory Matters | Valuing Goodwill
My October 10, 2007 discussed the several IRS CPE Texts that are relevant to valuing physician practices for purchase by hospitals or Integrated Delivery Systems. I should have mentioned an obvious one there, the 1996 EO CPE Text Valuation of Physician Practices (eotopicq96.pdf). Look at the discussion beginning at the bottom of page 22 and particularly that on page 23 with respect to Medical Records. This is where the IRS first made it clear that you had to have intangible value under the income approach before the cost approach became relevant. In my view, that is true anyway but particularly so in light of Derby, discussed elsewhere on the BLOG.
You can obtain eotopicq96.pdf at http://www.irs.gov/pub/irs-tege/.
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