Hospital Tax
Historically, federal and state governments have treated hospitals as tax-exempt entities, recognizing the vital role they play in strengthening the health and well-being of the communities they serve. While not-for-profit hospitals are exempt from corporate, sales and use, and property taxes, they are one of the state’s largest providers of tax revenue through the provider tax, known as the “hospital tax.”
During the 2026 Legislative Session, the state legislature and governor adopted a new hospital tax model that will direct additional resources back into patient care, strengthen the stability of local hospitals, protect high-quality care, preserve vital healthcare jobs, improve affordability, and ensure continued access to essential services across the state.
Learn more about the hospital tax:
