September 26, 2011
Illinois Governor Puts Moratorium on Tax Exemption Rulings for Nonprofit Hospitals
In an earlier post I noted that the Illinois Department of Revenue had denied tax exemption to three other nonprofit hospitals in Illinois in the wake of the Provena Covenant litigation. The Chicago Tribune recently reported that Governor Quinn has imposed a moratorium on any further action by the Department on nonprofit hospital tax exemptions pending discussions with the Illinois Hospital Association regarding a legislative solution to this issue. The governor has targeted March 1, 2012, as a date for recommendations regarding legislation. It appears, however, that litigation proceeds in the meantime. The story noted that while each of the three denied hospitals welcomed the moratorium, "they would pursue appeals."
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