The finding of non-profit organizations is formed at the taxpayers’ expense, so it is essential to comprehend their efficiency level. Different sources present the statistics that most US clinics are not for profit (Rosko, 2020). The tax-exempt position demands these organizations offer public health programs for all people in need, nevertheless of their ability to pay the bills. In addition to tax credits, the non-profit position permits hospitals to profit from a tax-free bond budget and help donations that are tax-deductible for supporters.
Non-profit hospitals set free options for almost all medical practices. Regardless, the decline in the expense is not accompanied by a related reduction in the quality of work. Surveys indicate that for-profit clinics may function much worse than non-profit organizations despite increased costs. It applies especially to the therapy of common illnesses; some institutions show even higher mortality rates. In this case, the quality of medical service solely depends on the employees’ skills and the work approach of the establishment. However, the relationship between charitable care and receiving tax credits is not always transparent (Rosko, 2020). Many non-profit clinics don’t deliver enough care to justify their tax-free benefit.
The situation with non-profit organizations can be twofold and requires additional statistics. Exempting hospitals from taxes allows people to receive decent medical care regardless of their financial situation. However, this agenda may not be achieved due to the inefficiency of some hospitals and the waste of taxes. Such a model can be effective only with proper state control. If the state does not monitor this situation seriously enough, the level of such medical providers will continue to fall. In this case, the inhabitants’ taxes are a waste of money and equal medical care is an unobstructed assurance impossible to provide.
Reference
Rosko, M., Al-Amin, M. & Tavakoli, M. (2020). Efficiency and profitability in US not-for-profit hospitals.International Journal of Health and Economic Management, 20, 359–379. Web.