Health | Politics
Indian Affairs Committee hearing on tax issue
The Senate Indian Affairs Committee holds a hearing this Thursday to examine a tax issue affecting tribes and health care.

Some tribes have developed universal health care systems that are similar to Medicare. The Internal Revenue Service has been treating such benefits as taxable, according to the National Congress of American Indians.

"By virtue of this IRS action, tribes are being penalized for providing creative solutions to their healthcare challenges," NCAI said in Congressional testimony.

To address the issue, NCAI developed a proposal to clarify that tribal benefits are exempt from taxation.

Committee Notice:
OVERSIGHT HEARING to examine the federal tax treatment of health care benefits provided by tribal governments to their citizens (September 17, 2009)

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