GROSS RECEIPTS TAX CHANGES

SB 295 creates tax deductions for healthcare providers on specific income streams. It allows deductions for sales of medical equipment/supplies/drugs, payments from patients for services not provided through insurance plans (like direct billing), and out-of-pocket patient payments (copayments/deductibles) excluding Medicaid services. The bill also removes an expiration date for existing copayment/deductible deductions and requires the state to reimburse healthcare providers for taxes paid on Medicaid reimbursements. These changes directly affect doctors, clinics, and other healthcare practitioners who bill patients or insurers, reducing their taxable income for qualifying services.