Maintaining tax-exempt status — Can it be done in light of PPACA?
Abstract: For almost a decade, pressure has been growing on nonprofit hospitals to justify their tax-exempt status. In a few cases, IRS enforcement efforts have led to some hospitals losing their nonprofit status. On top of that, the Patient Protection and Affordable Care Act (PPACA) has imposed new requirements on these facilities. This article discusses traditional risk areas for tax-exempt hospitals, and lists steps they should take to protect their tax-exempt status. A sidebar briefly discusses whether Accountable Care Organizations (ACOs) may qualify for such status.