IL appeals hospital's tax-exemption victory

The state of Illinois is appealing a court's decision to let Provena Covenant Medical Center to keep its tax exemption. Attorney General Lisa Madigan has filed a notice of appeal with the district appellate court.

Provena Covenant, which is owned by Mokena, IL Provena Health, lost its tax exemption in 2002, after state tax officials decided that the hospital didn't provide enough charity care nor let patients know that such care was available. Public opinion turned against the hospital, as well, when a Wall Street Journal piece detailed the hospital's aggressive debt-collection practices. The hospital has paid $6 million in taxes since it lost the exemption.

Despite these concerns, however, the hospital won a victory in July, when a circuit court judge sided with Provena. If the decision stands, Provena will get back its exemption, and what's more, the state will have to pay back the $6 million it collected.

To learn more about the case:
- read this Modern Healthcare article

Related Articles:
IL hospital loses high-profile tax case. Report
Nonprofit hospitals continue to face IRS scrutiny on whether they're providing enough charity care. Article
Florida hospital tax exemptions questioned. Report
Nonprofit hospitals continue to face IRS scrutiny on whether they're providing enough charity care. Article

Suggested Articles

The profit margins and management of Community Health Group raise questions about oversight of managed care insurers.

Financial experts are warning practices about the pitfalls of promoting medical credit cards to their patients.

A proposed rule issued by HHS on Tuesday would expand short-term coverage, a move Seema Verma said will have "virtually no impact" on ACA premiums.