Medicare receipts

From the 2024 DOR Tax Exemption Study

48.14.0201(6)(a) - Medicare receipts Description Health maintenance organizations and health care service contractors are exempt from the insurance premiums tax on Medicare payments received from the federal government. Purpose Reduces the cost of providing health care for Medicare patients. Taxpayer ($ in millions): savings FY 2024 FY 2025 FY 2026 FY 2027 State Taxes $22.180 $25.190 $28.600 $32.470 Local Taxes $0.000 $0.000 $0.000 $0.000 Repeal of Repealing this exemption would not increase revenues due to a federal preemption exemption prohibiting state taxation of Medicare payments. Potential ($ in millions): revenue gains FY 2024 FY 2025 FY 2026 FY 2027 from full repeal State Taxes $0.000 $0.000 $0.000 $0.000 Local Taxes $0.000 $0.000 $0.000 $0.000 Assumptions No revenue impact due to a federal preemption prohibiting state taxation of Medicare payments. Data Sources Office of Insurance Commissioner, Insurance data Additional Additional Information Information Category: Business Year Enacted: 1993 Primary Beneficiaries: Health maintenance organizations and health care service contractors that provide coverage for Medicare patients Taxpayer Count: 40 Program Inconsistency: None e