GOP Tax Cuts: Will Hospitals Be Hit the Hardest?

Hospitals could be dealt a financial blow under congressional Republicans’ attempts to overhaul federal tax law due to increased taxes on employees and automatic cuts to Medicare.

The House version of the bill (H.R. 1), which the chamber approved Nov. 16, would remove tax exemptions for private activity bonds, a major source of infrastructure funding for nonprofit hospitals.

The bonds are used to “improve community access to new technological advances, improve and update the infrastructure of the hospital, and increase jobs with hospital expansion and which support the local economy,” John Washlick, a health-care attorney ...