Gadsden (Ala.) Regional Medical Center will receive a tax refund of $1.5 million from Gadsden City, The Gadsden Times reported Aug. 18.
The county is seeking clarification from the state on Section 40-9-30, a law that exempts durable medical equipment from state, county and municipal sales if they are covered by and billed to a health insurance provider or Medicaid and Medicare.
The city is seeking clarification about the coverage and billing section of the bill. Gadsden approved the transfer of $753,678 and will make another payment in December.
"The statute is poorly written," City Attorney Lee Roberts said, "and in tax law, when the taxing statute is ambiguous, it's interpreted in favor of the taxpayer, in this case the hospital."