Tax-exempt Status
Improving the health of their communities is at the heart of every hospital’s mission. For example, tax-exempt hospitals annually demonstrate accountability to the communities they serve by reporting to IRS on the benefits they provide to their community using the IRS Form 990 Schedule H and making…
EY was commissioned by the American Hospital Association to analyze the federal revenue forgone due to the tax exemption of non-profit hospitals as well as the community benefits they provide. This study presents estimates for 2016, the most recent year for which community benefit information is…
Nonprofit hospitals have special obligations to their communities in exchange for being tax-exempt.
An EY report prepared for the AHA shows that tax-exempt hospitals and health systems delivered $10 in benefits to their communities for every dollar’s worth of federal tax exemption in 2020, the most recent year for which comprehensive data is available. It represents an increase from $9 in…
A new analysis by the international accounting firm EY (also known as Ernst and Young) for the AHA shows that tax-exempt hospitals and health systems delivered $10 in benefits to their communities for every dollar’s worth of federal tax exemption in 2020, the most recent year for which…
In 2020, the estimated tax revenue forgone due to the tax-exempt status of nonprofit hospitals is $13.2 billion. In comparison, the benefit tax-exempt hospitals provided to their communities, as reported on the Form 990 Schedule H, is estimated to be $129 billion, almost 10 times greater than the…
An op-ed published July 9 in Modern Healthcare written by AHA President and CEO Rick Pollack and Catholic Health Association President and CEO Sr. Mary Haddad discusses why nonprofit hospitals need positive margins.
The Federal Trade Commission April 23 voted 3-2 to issue a final rule that would ban as an unfair method of competition contractual terms that prohibit workers from pursuing certain employment after their contract with an employer ends.
Learn why it's reckless and wrong to allege that hospitals are deliberately squeezing their charity care spending to maintain financial viability.
A tax-exempt organization must file an annual information return or notice with the IRS, unless an exception applies. Form 990 is the IRS' primary tool for gathering information about tax-exempt organizations, educating organizations about tax law requirements and promoting compliance.…