Medicare receipts

From the 2024 DOR Tax Exemption Study

Home Education Industry Guides Hospital Industry Excise Taxes Print Excise taxes Problem Income is often reported under the wrong tax classification on the excise tax return. Solution Hospital income is subject to different tax classifications, depending on the: activity/service performed that generated the income source of the income type of hospital (public, for profit, nonprofit, etc.) To report your income correctly, become familiar with the common tax classifications for hospitals: Public or nonprofit hospital B&O tax Service and other activities B&O tax Retailing B&O tax Retail sales tax For more information, see WAC 458-20-168 . Public or nonprofit hospitals B&O tax Applies to gross income from personal and professional services to patients by hospitals operated as nonprofit corporations, operated by political subdivisions of the state, or operated but not owned by the state. Income reported under this classification includes, but is not limited to: L&I self insured plans Educational programs Emergency room physician payments Miscellaneous income from providing classes, data processing, clerical, etc. Professional services contracted out to independent contractors such as pu