General Assembly Raised Bill No. 7058
January Session, 2015 LCO No. 6198
*06198_______FIN*
Referred to Committee on FINANCE, REVENUE AND BONDING
Introduced by:
(FIN)
General Assembly
Raised Bill No. 7058
January Session, 2015
LCO No. 6198
*06198_______FIN*
Referred to Committee on FINANCE, REVENUE AND BONDING
Introduced by:
(FIN)
AN ACT CONCERNING THE HOSPITAL TAX.
Be it enacted by the Senate and House of Representatives in General Assembly convened:
Section 1. Section 12-263b of the general statutes is repealed and the following is substituted in lieu thereof (Effective January 1, 2017):
(a) (1) For each calendar quarter commencing on or after July 1, 2011, but prior to January 1, 2021, there is hereby imposed a tax on the net patient revenue of each hospital in this state to be paid each calendar quarter. [The] Except as provided in subdivision (2) of this subsection, the rate of such tax shall be up to the maximum rate allowed under federal law. The Commissioner of Social Services shall determine the base year on which such tax shall be assessed. The Commissioner of Social Services may, in consultation with the Secretary of the Office of Policy and Management and in accordance with federal law, exempt a hospital from the tax on payment earned for the provision of outpatient services based on financial hardship. Effective July 1, 2012, and for the succeeding fifteen months, the rates of such tax, the base year on which such tax shall be assessed [,] and the hospitals exempt from the outpatient portion of the tax based on financial hardship shall be the same tax rates, base year and outpatient exemption for hardship in effect on January 1, 2012.
(2) For the calendar year commencing January 1, 2017, the annual amount of tax imposed on a hospital shall be equal to eighty per cent of the amount of tax imposed on the hospital during the fiscal year commencing July 1, 2012. For the calendar year commencing January 1, 2018, the annual amount of tax imposed on a hospital shall be equal to sixty per cent of the amount of tax imposed on the hospital during the fiscal year commencing July 1, 2012. For the calendar year commencing January 1, 2019, the annual amount of tax imposed on a hospital shall be equal to forty per cent of the amount of tax imposed on the hospital during the fiscal year commencing July 1, 2012. For the calendar year commencing January 1, 2020, the annual amount of tax imposed on a hospital shall be equal to twenty per cent of the amount of tax imposed on the hospital during the fiscal year commencing July 1, 2012. For the calendar year commencing January 1, 2021, and each calendar year thereafter, no tax shall be imposed pursuant to this section.
(b) Each hospital shall, on or before the last day of January, April, July and October of each year, until February 1, 2021, render to the Commissioner of Revenue Services a return, on forms prescribed or furnished by the Commissioner of Revenue Services and signed by one of its principal officers, stating specifically the name and location of such hospital, and the amount of its net patient revenue as determined by the Commissioner of Social Services. Payment shall be made with such return. Each hospital shall file such return electronically with the department and make such payment by electronic funds transfer in the manner provided by chapter 228g, irrespective of whether the hospital would otherwise have been required to file such return electronically or to make such payment by electronic funds transfer under the provisions of chapter 228g.
This act shall take effect as follows and shall amend the following sections:
Section 1 January 1, 2017 12-263b
This act shall take effect as follows and shall amend the following sections:
Section 1
January 1, 2017
12-263b
Statement of Purpose:
To phase out the hospital tax on net patient revenue over a five-year period.
[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]