IRS Form 990 and Schedule H

Form 990 and Schedule H

On July 22, the AHA provided comments to the IRS on its request for additional comments on tax exemption. The ACA imposes four requirements on hospitals that seek to qualify for and maintain tax-exempt status. The requirements are for a health needs assessment, a financial assistance policy, a limitation on charges, and billing and collections. Although the community health needs assessment requirement is effective for tax years beginning after March 23, 2012, the remaining three requirements are effective immediately.

The AHA urges the Departure of Treasury and the IRS to seek formal legislative action to establish a "reasonable "cure" period for any failure to meet the new requirements, such as the later of 90 days or the end of the fiscal year in which the failure is discovered.

July 22, 2010 AHA, Health Groups submit comments to IRS new requirements for tax-exempt hospitals under 501(r)
Comment Letter: AHA, Health Groups comments to IRS Re: Internal Revenue Code 501(r)