Find Legal Information

142.303 Tax on gross revenues of providers for hospital services -- Exception.

Download pdf

142.303 Tax on gross revenues of providers for hospital services -- Exception. (1) A tax is hereby imposed at a rate of two and one-half percent (2.5%) on gross revenues received by all providers on or after July 15, 1994, for the provision of <br>hospital services. The tax imposed by this section shall not apply to gross revenues <br>received for dispensing outpatient prescription drugs subject to tax under KRS <br>142.311. (2) (a) Notwithstanding any other provision of the Kentucky Revised Statutes to the contrary, beginning in state fiscal year 2008-2009 and continuing annually <br>thereafter, the tax imposed under subsection (1) of this section on providers of <br>hospital services who paid taxes in state fiscal year 2005-2006 shall be <br>assessed on gross revenues received by the provider during state fiscal year <br>2005-2006. Notwithstanding KRS 142.301 to 142.363, hospital provider taxes <br>due in state fiscal year 2008 and continuing annually thereafter shall be paid in <br>twelve (12) equal monthly installments, with each payment due no later than <br>twenty (20) days after the last day of each calendar month. At least thirty (30) <br>days prior to the beginning of the state fiscal year, the Department of Revenue <br>shall send written notice to each provider of hospital services of the provider's <br>total tax liability for the year, which shall be the amount the provider paid in <br>taxes in state fiscal year 2005-2006. The provisions of this paragraph also <br>shall apply if the hospital subsequently undergoes a change in ownership. (b) If a hospital was not in operation during state fiscal year 2005-2006, the hospital shall be taxed pursuant to the provisions of subsection (1) of this <br>section, provided that, upon request of the provider, the Department of <br>Revenue may adjust the hospital's annual tax liability in accordance with the <br>gross revenues of a comparable hospital. Effective: June 26, 2007 <br>History: Amended 2007 Ky. Acts ch. 9, sec. 1, effective June 26, 2007. -- Created 1994 Ky. Acts ch. 512, sec. 97, effective July 15, 1994.