Wiki Writing off timely filing limitations to bad debt - is it illegal or will be rejected?

[TMacFarlane]

Hi,

We are and have been writing off timely filing limitation denials to bad debt. I know we cannot commingle the contractual obligations/contractual adjustments with bad debt (collections, etc) or it will be rejected as a mixed debt and contractual amounts.

Can you write off timely filing limitation denials to bad debt or is timely filing errors considered the same as contractual obligations and you can't commingle? Any resources to show our CFO is appreciated.

Thank you.

 

[thomas7331]

This sounds like a question you would need to ask your practice's accountant. The way in which a practice classifies its uncollectible balances is a matter of internal accounting procedures and really has nothing to do with coding or billing guidelines.