Community Benefit: Ready For A Punch To The Gut?
Ending months of waiting, a new IRS report was released last week summarizing responses by almost 500 hospitals to a questionnaire about community benefit. The report and the response to it by ranking Senate Finance Committee member Chuck Grassley, R-IA, has finally provided some clarity on where the committee is leaning regarding uniform community benefit reporting standards for the IRS's form 990. Some hospitals and hospital systems may fear the effect on their margins from clarifying the rules for tax exemption. According to the survey's results and Grassley's response, maybe they should be afraid.