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CMS ISSUES SMALL DEBIT WRITE-OFF GUIDANCE

 

CMS has issued audit guidance pertaining to write-offs of small debit balances in patientsí accounts receivables. To make the most productive use of audit resources, the agency advises against reviewing debit balances under $10.

Medicare deductible and coinsurance amounts are allowable as bad debts only if the hospital exerts a reasonable effort to collect them, lasting at least 120 days from the date the first bill was completed.


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