
What is community benefit?
Community benefits are voluntary services and activities that hospitals provide to promote the health and wellbeing of the communities they serve. As a result, they may get tax relief from the federal and state governments (501)(c)(3) tax-exemption status.
Examples of community benefit include but are not limited to:
- Accepting people with Medicaid coverage
- Advancing medical training and education using surplus funds
- Providing free or discounted care to patients that qualify, known as charity care