This bill amends existing taxation laws to provide various deductions related to gross receipts for health care services and medical supplies. It introduces a new section that allows health care practitioners to deduct receipts from the sale of medical equipment, supplies, and drugs, provided these items are regularly used in their practice. Additionally, it specifies that receipts for health care services provided to patients, excluding those covered by Medicaid, can also be deducted. The bill removes the sunset date for deductions related to copayments and deductibles paid by insured individuals, ensuring these deductions remain in effect indefinitely.

Furthermore, the bill mandates that health care providers receiving Medicaid reimbursement will be compensated for all applicable gross receipts taxes they are required to pay. It also includes provisions for reporting and evaluating the effectiveness of these deductions, ensuring transparency and accountability in the tax expenditure budget. The effective date for these changes is set for July 1, 2025.

Statutes affected:
introduced version: 7-9-93