H.R. 9504 · In committee · Taxation

Tax Exempt Hospital Transparency Act

Sponsor: Gregory F. Murphy (R-NC)

What it does

• Require tax-exempt hospital organizations to report additional information to the IRS on Form 990, including how they address community health needs and reasons needs are not being addressed.
• Mandate that tax-exempt hospitals disclose the value of financial assistance provided at cost, and the number of financial assistance applications received, granted, and denied.
• Impose enhanced reporting requirements on large or high-revenue tax-exempt hospital organizations.
• Direct the Government Accountability Office to study and report the costs associated with implementing the additional information reporting requirements.

Official summary

Tax Exempt Hospital Transparency Act This bill requires tax-exempt hospital organizations to report additional information to the Internal Revenue Service. The bill defines a tax-exempt hospital organization as an organization that is licensed or recognized as a hospital and is required to conduct a community health needs assessment and adopt a strategy to meet the needs identified in the assessment, have a written financial assistance policy, limit charges for emergency and medically necessary care provided to individuals eligible for financial assistance and prohibit the use of gross charges, meet certain billing and collection requirements, and file IRS Form 990 (Return of Organization Exempt From Income Tax). Under the bill, a tax-exempt hospital organization must include with Form 990 certain identifying information and a description of how the organization addresses the needs identified in the most recent community health needs assessment, the needs not addressed, and the reasons why needs are not being addressed; audited financial statements; the value (at cost) of the financial assistance provided; and the numbers of completed financial assistance applications received…

Latest action

Jul 1, 2026: Ordered to be Reported in the Nature of a Substitute by the Yeas and Nays: 25 - 15.

Committee: House Ways and Means