Understanding What Counts as Community Benefit

The guiding principle in determining a community benefit is that the activity or program responds to an identified community health need and is not provided primarily for organizational benefit. “Community benefit activities or programs also seek to achieve a community benefit objective, including improving access to health services, enhancing public health, advancing increased general knowledge, and relief of a government burden to improve health. (IRS Schedule H instructions)

• Information on federal and state tax exemption requirements, CHA website. Includes links to Schedule H form and instructions, final rule for ACA requirements for tax-exempt hospitals and background on the Federal Community Benefit Standard and related revenue rulings.
• Community Benefit Categories and Definitions - 2022 (G)
• Housing and Community Benefit: What Counts, Enterprise and CHA February 2018
• Social Accountability and the Long-Term Care Continuum — Definitions of Community Benefit Services for Homes and Services for the Aging are at the end of this document. (G)
• What Counts Resource, Catholic Health Association website.
• What Counts Q&A, Catholic Health Association website. Questions from the field about what counts as community benefit and link to the What Counts Email Hotline. (G)
• "Valuation and Financial Statement Presentation of Charity Care, Implicit Price Concessions and Bad Debts by Institutional Healthcare Providers:" Principles and Practices Board Statement 15 | HFMA

The following resources address reporting questions that have been raised around specific issues.

• Screening and Referrals for Health-Related Social Needs
• Prioritizing Community Benefit Donation Requests
• Housing and Community Benefit: What Counts
• Social Accountability and the Long-Term Care Continuum
• Guidance for Determining Whether to Report a Program or Activity as Community Health Improvement or Community Building
• Guidelines for Reporting Environmental Improvement as Community Benefit and Community Building on IRS Form 990, Schedule H

To learn more:

• What counts as community benefit accounting, please visit:
  • What Counts as Community Benefit, and
  • What Counts Q&A Library
• Accounting and Reporting community benefit, please visit Accounting for Community Benefit on CHA's website.

• Order a copy of the Guide