Posted May 31, 2017 with Tags Fred Struve, Frederik Struve, Nonprofits, 501(r), Heidi Christianson
501(r) Audits Are Here: What You Need to Know
The Affordable Care Act imposed new requirements on tax-exempt hospitals under Section 501(r) of the Internal Revenue Code. Section 501(r) and its implementing regulations present a complex framework intended to promote “charitable” behavior by tax-exempt hospitals. By way of example, 501(r) requires a hospital to assess and address community health needs and to adopt billing and collection practices aimed at ensuring that patients who have a limited ability to pay for care are treated fairly.