On December 29, 2014, the IRS issued final regulations 2 under 28 U.S.C. §501 (r)ª both amending and ratifying the 2012 * and 2013* temporary regulations and setting the time for compliance for a hospital organization’s first taxable year beginning after December 29, 2015.
The final regulations provide over one hundred changes to the temporary regulations. Many of these changes will require substantial process and recordkeeping changes for hospitals. * It is important to observe that the regulations indicate that following an established process is a consideration in mitigating the sanction of loss of tax exempt status for failure to comply with
S501 (г).7
This memo briefly identifies several of the changes from the temporary regulations imposed by the final regulations. It categorizes the changes generally consistently with the Explanation of Revisions released by the IRS together with the final regulations.*
Hospital Tax Law News
