Strategies can enhance rural hospital viability.
Although some rural hospitals struggle to remain financially viable, the Internal Revenue Service (IRS) often shows greater flexibility in interpreting regulations for tax-exempt hospitals in rural areas. To take advantage of this flexibility, rural facilities should understand issues affecting Federal tax-exempt status, such as private benefit, private inurement, and unrelated business income. A not-for-profit, rural healthcare facility well versed in tax-exempt regulations and their interpretations by the IRS can structure recruitment and retention programs, joint ventures, unrelated businesses, and even cooperative coalitions to enhance its financial well-being without endangering its tax exemption.
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D002608:Charities / Q000331:legislation & jurisprudence; D005377:Financial Management, Hospital / Q000331:legislation & jurisprudence*; D006755:Hospital Shared Services / Q000331:legislation & jurisprudence; D006759:Hospital-Physician Joint Ventures / Q000331:legislation & jurisprudence; D006780:Hospitals, Rural / Q000191:economics*; D007182:Income; D010816:Physician Incentive Plans / Q000331:legislation & jurisprudence; D013660:Taxes / Q000331:legislation & jurisprudence; D014481:United States