Checks & Balances Project Files Complaint With IRS Asking for an Investigation

Howard KernChecks and Balances Project (C&BP) has filed a complaint with the IRS asking the agency to investigate and, depending on the findings of that investigation, possibly remove Sentara Healthcare’s nonprofit, tax-exempt status. Here is the Memorandum in Support. C&BP has exposed Sentara’s unclear financial assistance policies, possible overcharges of uninsured patients and aggressive action against competitors.

A C&BP investigation using Sentara’s “Transparent Pricing Tool” reveals charges for medical services on a patient’s bill exceeded its list prices. Formulating and honoring those prices is a factor in the conglomerate’s tax-exempt status, and, if the IRS determined it was egregious, the loss of tax-exempt status could result in Sentara paying back taxes that could wipe out a significant portion of its $6 billion in cash reserves.  A request for comment by Sentara has gone unanswered.

The details of the complaint include:


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Ray Locker is enterprise and investigative editor of Checks and Balances Project, an investigative watchdog blog holding government officials, lobbyists, and corporate management accountable to the public. Funding for C&BP is provided by Renew American Prosperity and individual donors.


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