[vc_row][vc_column][vc_column_text]The Cares Act authorized $100 Billion for a Relief Fund for practices and hospitals. Medical practices are to receive $50 Billion, with Hospitals, providers in rural areas, and other targets to receive the other $50 Billion. These funds are grants – they need not be repaid – provided the practice attests that they won’t be used for certain prohibited purposes. (The restrictions are few and specific – unlikely to affect most practices.) The first $30 Billion was pushed out directly into the accounts for any practice that received Medicare payments in 2019. This was done for logistical reasons, as funds could be distributed quickly because the payment mechanisms are already in place.
The next $20 Billion has been released for distribution, but all practices are eligible, not just practices billing Medicare. In order to receive funds in this second distribution, the practice must apply online – which is the same process as the attestation of proper use. Total distribution is based on your 2019 total Gross Receipts or Sales, as documented in your 2019 Federal Tax Return. If you did receive funds in the first distribution, you may still be eligible for more, so be sure the complete the attestation HERE.
The original attestation deadline was 30 days following receipt of the initial funds, which was on or about April 10th for most practices. This has been extended to 45 days. For an estimate of your total eligibility, take the 2019 total Gross Receipts or Sales and divide by 50. If you already received funds in the first distribution, the amount received will be included in the eligibility total.
It is unclear if there are enough funds available for all eligible practices, so you should go online and attest/apply as soon as possible. You will need your 2019 tax return. Again, here is the attestation https://covid19.linkhealth.com/docusign/#/step/1
For more details on the program, visit the Provider Relief Fund page on the HHS website: https://www.hhs.gov/coronavirus/cares-act-provider-relief-fund/index.html[/vc_column_text][vc_column_text]