Catholic Health Association Praises Internal Revenue Service for Community Benefit Approach in Final Form 990

Dec 20, 2007, 00:00 ET from Catholic Health Association of the United States

    WASHINGTON, Dec. 20 /PRNewswire-USNewswire/ -- The Catholic Health
 Association of the United States (CHA) is pleased that the Internal Revenue
 Service (IRS) adopted the CHA approach for reporting community benefit in
 the final Form 990, Schedule H released today. Schedule H, which is a new
 part of the Form 990, will be completed annually by Section 501(c)(3)
 hospitals to provide information on their tax-exemption.
     "CHA is proud of what hospitals do for their communities and the new
 Schedule H will provide a standardized way for hospitals to describe, both
 qualitatively and quantitatively, the ways in which they benefit their
 communities," stated Sr. Carol Keehan, DC, CHA president and chief
 executive officer. "CHA believes that hospitals should be accountable for
 the privilege of tax-exemption and Schedule H promotes this
     CHA is still in the process of reviewing the numerous changes included
 in the final Form 990. However, it appears that the IRS did make
 significant revisions to the June draft based on the many comments it
 received from the non-profit sector. With respect to the six key issues
 identified in CHA's comment letter as needing change, the IRS revised the
 Form to address CHA's primary concerns in all but one instance. While the
 final Form did not incorporate CHA's suggestion to include a community
 benefit category for community building programs specifically designed to
 eliminate the root causes of illness and disease, the final Schedule H does
 contain a new table for hospitals to highlight these activities.
     "The IRS's willingness to engage in an ongoing dialogue with the
 hospital sector during this process was unprecedented and, I think,
 resulted in a better outcome. While the IRS did not accept all of our
 recommended changes, we understand the basis on which the IRS decisions
 were made," added Lisa Gilden, CHA vice president, general counsel.
     CHA expects to continue its dialogue with the IRS as the instructions
 and worksheets for completing the Form 990 are developed. In addition, the
 association's community benefit staff will update the widely-used CHA Guide
 for Planning and Reporting Community Benefit to assist all hospitals in
 planning, implementing and reporting community benefit in light of the new
 Form 990.
     The Catholic Health Association of the United States (CHA), founded in
 1915, supports the Catholic health ministry's pursuit of the strategic
 directions of mission, ethics, and advocacy. As the nation's largest group
 of not-for-profit sponsors, systems, and facilities, the ministry is
 committed to improving the health status of communities and creating
 quality and compassionate health care that works for everyone. For more
 information, visit the CHA website at

SOURCE Catholic Health Association of the United States