<p>U.S. HHS Inspector General: Pennsylvania's Tax on MCOs Is Impermissible Healthcare-Related Tax</p>

U.S. HHS Inspector General: Pennsylvania's Tax on MCOs Is Impermissible Healthcare-Related Tax

The inspector general of the U.S. Department of Health and Human Services has examined Pennsylvania's gross receipts tax on Medicaid-managed care organizations (MCO) and concluded that the tax is an impermissible healthcare-related tax because the state used the tax to lower its share of MCO capitation payments and increase the federal share.

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