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Georgia hospitals to benefit from rural tax credits

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Published: Feb. 2, 2021 at 3:24 PM CST
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DOUGLAS, Ga. (WALB) - The start of tax season is right around the corner, but Georgians have a unique opportunity now to decide where they want their money to go.

State legislation is giving taxpayers an option to support the state’s rural hospitals — at no additional cost.

The program designates money you would typically pay in taxes to go to a Georgia HEART facility of your choice.

Coffee Regional Medical Center (CRMC) is one of 55 facilities on the list.

Right now, the hospital is ranked sixth for being in the most financial need.

“The contributions given to CRMC through the rural tax credit program have been invaluable,” Vicki Lewis, CRMC president and CEO, said. “Over the past three years, our hospital has purchased new equipment, hired physicians in high-demand and specialty areas, supported operations experiencing high levels of uncompensated care and expanded to offer new services. I hope you will consider supporting this special and impactful way to ensure we can continue to provide ongoing high-quality care for our community.”

Here’s how the program works:

  • From Jan. 1-June 30 of each taxable year, taxpayers are eligible to contribute up to $5,000 for individuals, $10,000 for married couples, and $10,000 for pass-through owners.
  • On July 1 of each year, limits for individual and married filing joint taxpayers (including pass-through owners) are waived. This means you can contribute as much as you would like, and you may take the credit against your overall Georgia income tax liability in the current year, or you may carry it forward for up to five future years.
  • At any time during the year, a “C” Corporation or trust shall be allowed a 100 percent Georgia income tax credit for contributions to eligible rural hospital organizations equal to the amount of the contribution, or 75 percent of the corporation or trust’s income tax liability, whichever is less.
  • Recent IRS regulations provide even more good news and positive impact for many participants in this program. For “C” corporations and some pass-through businesses, the contribution will constitute an ordinary and necessary business expense, which will provide a federal income tax benefit.

For more information on the Georgia HEART rural tax credit program or to apply, click here.

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Original Story: https://www.wtoc.com/2021/02/01/georgia-hospitals-benefit-rural-tax-credits/