Bookkeeping for Dermatology Clinics

Medical dermatology. Cosmetic procedures. Product sales. Device financing.

Your practice is unique—and your bookkeeping should reflect that.

We understand the financial complexities of running a dermatology clinic where medical and cosmetic services intersect. Let us handle your books so you can focus on patient care

The challenge:
You’re running two businesses under one roof. Medical dermatology (acne treatment, skin cancer screening, eczema) is billed to MSP or insurance. Cosmetic procedures (Botox, fillers, laser treatments) are private pay.

Tracking these separately for tax purposes? That’s where most bookkeepers get confused.

How we help:
We separate medical and cosmetic revenue streams, ensuring proper GST/HST treatment and clear visibility into which side of your practice is most profitable.

The challenge:
You’re not just providing services—you’re selling products. Skincare lines, injectables, medical-grade cosmetics. Each with different costs, margins, and inventory turnover.

How we help:
We track product inventory, cost of goods sold (COGS), and profit margins so you know which products are worth stocking and which are sitting on shelves.

The challenge:

• Medical services: GST/HST exempt
• Cosmetic services: Fully taxable
• Products: Depends on the product
• PST in BC: Applies to cosmetic services

One mistake and CRA comes knocking.

How we help:
We ensure every transaction is categorized correctly for tax compliance—medical exempt, cosmetic taxable, products handled properly.

The challenge:
That $150,000 laser you financed? It needs to be depreciated correctly over its useful life. Lease vs. purchase? Different tax treatment.

How we help:
We ensure every transaction is categorized correctly for tax compliance—medical exempt, cosmetic taxable, products handled properly.

The challenge:
Patients pay by credit card, debit, e-transfer, cash, sometimes insurance direct billing. Each method has different fees and processing times.

How we help:
We reconcile all payment methods, account for merchant fees, and ensure every dollar collected is properly tracked.

📘 Medical vs. Cosmetic Revenue Tracking

We separate your revenue streams so you have clear visibility into which services drive profitability—and which are worth expanding.

💰 Product Inventory & COGS Management

From skincare to injectables, we track inventory levels, calculate cost of goods sold, and show you profit margins by product line.

💼 GST/HST & PST Compliance

We ensure medical services are exempt, cosmetic services are taxed correctly, and PST (in BC) is applied where required—keeping you CRA-compliant.

🏥 Medical Device Financing & Depreciation

We track equipment purchases, lease agreements, and depreciation schedules to maximize tax deductions and maintain audit-ready records

📊 Monthly Financial Reporting

You receive clear monthly reports showing:

• Revenue by service type (medical vs. cosmetic)
• Product sales and margins
• Equipment financing balances
• Overall profitability

📋 Tax Preparation Support

We prepare organized year-end tax packages, ensuring all deductions are maximized and your records are audit-ready.

✓ We Understand Dual-Revenue Models
Medical and cosmetic services under one roof? We track them separately and correctly.

✓ We Know Tax Rules for Dermatology
GST/HST exempt vs. taxable, PST on cosmetic procedures—we handle it all.

✓ Canadian Compliance Experts
We understand CRA requirements, provincial regulations, and medical equipment depreciation rules.

✓ Product Inventory Specialists
We track your skincare and injectable inventory, COGS, and margins.

✓ 15+ Years Healthcare Bookkeeping
We’ve worked with dermatology clinics long enough to know every financial nuance.

The Challenge:
A dermatology clinic offering both medical and cosmetic services had no clear separation between revenue streams. They didn’t know which side of the practice was more profitable, and tax filing was a nightmare trying to separate exempt vs. taxable services.

What we did:

• Set up separate tracking for medical vs. cosmetic revenue
• Configured proper GST/HST treatment (exempt medical, taxable cosmetic)
• Tracked product inventory and COGS for skincare sales
• Created monthly reports showing profitability by service type

The transformation:
✅ Clear visibility into medical vs. cosmetic profitability
✅ GST/HST compliance—zero tax filing errors
✅ Product margins tracked—stopped carrying low-profit items
✅ Tax time went from stressful to straightforward
✅ Practice owner makes data-driven decisions about service offerings