Connecticut legislature considers proposed change to ASC tax

Connecticut's General Assembly is considering a bill that would increase the 6 percent gross receipts tax on same-day surgeries performed in ASCs to a 6.35 percent sales tax, according to the Hartford Courant.

The original tax was introduced in 2015 and has received sharp criticism from the ASC industry in the state. 

"Standard business practice for some procedures in ASCs is for payers to reimburse the direct cost of implants used during surgery. In a gross receipts environment, ASCs actually lose money on these 'pass-through' payments," Michael Aronow, MD, president of the Connecticut Orthopaedic Society, said in a letter to the general assembly. 

In the letter, Dr. Aranow explained that not only are centers being taxed on surgical care, but also on the device used.

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