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TransUnion Addresses Ohio Attorney General's Concerns Surrounding Non-Profit Tax-Exempt Status
Date:2/25/2008

The Healthcare Revenue Cycle Platform helps hospitals automate charity care determination and reporting processes to support updated IRS Form 990

CHICAGO, Feb. 25 /PRNewswire/ -- The TransUnion Healthcare Revenue Cycle Platform, a solution that automates the process that assists hospitals in determining whether a patient is eligible for charity or other financial assistance, addresses many of Ohio Attorney General Marc Dann's concerns regarding state property tax exemptions for not-for-profit hospitals.

Dann recently commented at an Ohio Hospital Association meeting that he would like to better define what not-for-profit hospitals must do to maintain tax exemptions. According to an Associated Press report, Dann is interested in learning how hospitals collect unpaid medical bills, how much charity care they provide and what financial information they share with the public, among other things.

"Addressing Attorney General Dann's concerns, not-for-profit hospitals may use solutions such as TransUnion's Healthcare Revenue Cycle Platform to demonstrate the amount of charity care they provide to the communities they serve," said Marty Callahan, vice president of Healthcare Information Solutions for TransUnion. "Our platform provides hospitals with access to consumer databases and sophisticated decisioning technology to objectively qualify self-pay patients for financial assistance at the time of their medical treatment and even generate the necessary paperwork. The software also allows hospitals to proactively measure and communicate their charity care distributions on a timely basis."

Addressing this issue in December 2007, the Internal Revenue Service (IRS) introduced its updated Form 990 for tax-exempt organizations, which includes a new Schedule H designed specifically for hospitals. The form, which will go into effect in the 2009 tax year, requires not-for-profit hospitals to classify their spending for both charity care and bad debt
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SOURCE TransUnion
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