Health care partner T.J. Sullivan provided comments to MedCity News in an article, titled, “IRS may deny tax-exempt status to commercial ACOs.” The article discussed how the IRS is likely to deny commercial Accountable Care Organizations (ACOs) tax-exempt status.
Earlier this year, the IRS officially denied a commercial ACO tax-exempt status. T.J. noted that “the ruling found there was too much benefit to the participating physicians and commercial payers for the IRS to determine a favorable tax exemption. We don’t know what the IRS will do about others, including dual-status ACOs, that both participate in the MSSP and contract with commercial payers.” Since that ruling, industry experts have been waiting to see what happens next.
Read more of T.J.’s comments and the full article by clicking the link below.