Pittsburgh Pursues Removal of UPMC's Tax Exemption

University of Pittsburgh Medical Center's tax-exempt status has hit the crosshairs of the city's top official, as Pittsburgh Mayor Luke Ravenstahl said the city will ask a judge to remove UPMC's tax exemption, according to a Pittsburgh Tribune-Review report.

Pittsburgh will petition that UPMC, which employs more than 55,000 people, no longer be exempt from the city's payroll tax and pay dues on its 150 properties scattered throughout the city, according to the report. The city said UPMC no longer meets the state's guidelines as a "purely public charity."

UPMC's tax-exempt status has been called into question since last year. The healthcare giant's break from property taxes is around $42 million, and county leaders wanted to examine if UPMC and other non-profit organizations are still using their tax-exempt land for charitable purposes. In December, Mayor Ravenstahl also formed a task force to examine contributions from the city's non-profits.

UPMC has previously countered arguments around its tax-exempt status, saying it provides more in charity care than what the tax exemptions are worth. According to several tweets, UPMC said in response that "if UPMC listened to unions and local government politicians on how to run our business, there wouldn't be a UPMC."

More Articles on UPMC:

UPMC, Altoona Regional Health Negotiate Affiliation Terms
UPMC's 2Q Profit Sinks 54% on High Expenses, Low Reimbursements
Protesters Demand UPMC "Pay Its Fair Share"

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