Nev. Admin. Code § 363C.230

Current through December 31, 2024
Section 363C.230 - Calculation of uncompensated care deduction for health care providers
1. For the purpose of calculating the amount of the deduction from gross revenue set forth in paragraphs (i) and (j) of subsection 1 of NRS 363C.210, the actual cost to a health care provider for uncompensated care is an amount equal to the operating expenses of the health care provider for the most recent federal tax year of the health care provider, multiplied by:
(a) The uncompensated care ratio of the health care provider calculated for the most recent federal tax year of the health care provider; or
(b) If the health care provider elects to use the uncompensated care ratio calculated for the most recent report filed by the health care provider pursuant to subsection 3 of NRS 449.490, the uncompensated care ratio calculated for that report. A health care provider that elects to use the uncompensated care ratio described in this subsection shall maintain sufficient records to verify the validity of the calculation of the uncompensated care ratio.
2. A health care provider shall maintain for all uncompensated care a record of the service provided, the standard charge for the service and the payments received by the health care provider for the service.
3. As used in this section:
(a) "Health care provider" has the meaning ascribed to it in NRS 363C.210.
(b) "Operating expenses" means:
(1) The amount reported on lines 2 and 21 of Form 1065, U.S Return of Partnership Income, or its equivalent or successor form;
(2) The amount reported on lines 2 and 20 of Form 1120S, U.S Income Tax Return for an S Corporation, or its equivalent or successor form; or
(3) The corresponding line item from any other federal tax form filed by the health care provider, Ê with respect to services sitused to this State pursuant to NAC 363C.490, less any such amounts that have been deducted from its gross revenue pursuant to subsection 1 of NRS 363C.210, including, without limitation, bad debts.
(c) "Uncompensated care charges" means an amount equal to the standard charge for health care services for which the health care provider has not received any payment or for which the health care provider has received partial payment that does not cover the cost of the health care services provided to the patient, excluding any portion of a charge that the health care provider has no right to collect under a private health care plan, under an agreement with a patient for a specific amount or under the charge limitations imposed by a program described in subparagraphs (1), (2) and (3) of paragraph (i) of subsection 1 of NRS 363C.210. For the purposes of this paragraph, the standard charge for health care services must be comparable to the charges applied to health care services provided to all patients of the health care provider.
(d) "Uncompensated care ratio" means the ratio equal to uncompensated care charges, less the amounts received toward uncompensated care charges that do not cover the cost of the health care services provided to a patient, divided by the total charges for all health care services, including, without limitation, uncompensated care charges.

Nev. Admin. Code § 363C.230

Added to NAC by Tax Comm'n by R123-15, eff. 6/28/2016

NRS 360.090, 363C.100, 363C.210