The Illinois House of Representatives passed SB2194 Friday, which would establish an income tax credit for for-profit, investor-owned hospitals and would establish criteria for property and sales tax exemptions for non-profit hospitals.
The legislation, supported by the Illinois Hospital Association, would also provide tax exemptions to the three hospitals — Northwestern Memorial's Prentice Women's Hospital in Chicago, Edward Hospital in Naperville and Decatur (Ill.) Memorial Hospital — that are still awaiting final verdicts on their property tax assessments. Last August, the Illinois Department of Revenue denied the property tax-exempt status of those three hospitals due to low percentages of charity care as a percent of their net patient revenues.
SB2194 would also enforce a $1-per-pack cigarette tax increase, which would provide roughly $700 million for Illinois' Medicaid program. The Senate will vote on the bill this week.
The legislation, supported by the Illinois Hospital Association, would also provide tax exemptions to the three hospitals — Northwestern Memorial's Prentice Women's Hospital in Chicago, Edward Hospital in Naperville and Decatur (Ill.) Memorial Hospital — that are still awaiting final verdicts on their property tax assessments. Last August, the Illinois Department of Revenue denied the property tax-exempt status of those three hospitals due to low percentages of charity care as a percent of their net patient revenues.
SB2194 would also enforce a $1-per-pack cigarette tax increase, which would provide roughly $700 million for Illinois' Medicaid program. The Senate will vote on the bill this week.
More Articles on Illinois Hospitals and Property Taxes:
Illinois' Prentice Women's Hospital Loses Property Tax Exemption Appeal
Fitch: Property Taxes Would Afflict Illinois Non-Profit Hospital Ratings
Illinois to Resume Reviews of Non-Profit Hospitals' Tax-Exempt Statuses