The state’s highest court will weigh the constitutionality of a law that lets not-for-profit hospitals skip paying property taxes — a question with potentially hundreds of millions of dollars at stake.
Current law says that not-for-profit hospitals in Illinois don’t have to pay property taxes as long as the value of their charitable services is at least equal to what they would otherwise pay in taxes. About three-fourths of the state’s more than 200 hospitals are not-for-profit.
But a lawsuit challenging the constitutionality of that law has been working its way through the courts and will be heard Tuesday before the Illinois Supreme Court.
It’s an issue that’s stirred debate in Illinois and across the country, with some saying not-for-profit hospitals operate more like businesses and should have to pay taxes.
(click here to continue reading Illinois Supreme Court to weigh tax exemption for not-for-profit hospitals – Chicago Tribune.)
My position is the same as in previous blog posts: wealthy non-profits shouldn’t be able to avoid paying taxes simply because they sometimes do charitable work. If 100% of a particular hospital’s clients were not required to pay for any services, than perhaps I’d change my opinion. Wealthy non-profits shouldn’t be leeches on society.