Purpose of Schedule

Hospital organizations use Schedule H (Form 990) to provide information on the activities and policies of, and community benefit provided by, its hospital facilities and other non-hospital health care facilities that it operated during the tax year. This includes facilities operated either directly or through disregarded entities or joint ventures.

Who Must File An organization that answered “Yes” on Form 990, Part IV, line 20a, must complete and attach Schedule H to Form 990.

Schedule H (Form 990) must be completed by a hospital organization that operated at any time during the tax year at least one hospital facility . A hospital facility is one that is required to be licensed, registered, or similarly recognized by a state as a hospital . Multiple buildings operated by a hospital organization under a single state license are considered to be a single hospital facility.

The organization must file a single Schedule H (Form 990) that combines information from the following.

1. Hospital facilities directly operated by the organization.

2. Hospital facilities operated by disregarded entities of which the organization is the sole member.

3. Other health care facilities and programs of the hospital organization or any of the entities described in (1) or (2), even if provided separately from the hospital's license.

4. Hospital facilities and other health care facilities and programs operated by any joint venture treated as a partnership, to the extent of the hospital organization's proportionate share of the joint venture.

“Proportionate share” is defined as the ending capital account percentage listed on the Schedule K-1 (Form 1065), Partner's Share of Income, Deductions, Credits, etc., Part II, line J, for the partnership tax year ending in the organization's tax year being reported on the organization's Form 990. If Schedule K-1 (Form 1065) isn't available, the organization can use other business records to make a reasonable estimate, including the most recently available Schedule K-1 (Form 1065), adjusted as appropriate to reflect facts known to the organization, or information used for purposes of determining its proportionate share of the venture for the organization's financial statements.

5. In the case of a group return filed by the hospital organization, hospital facilities operated directly by members of the group exemption included in the group return, hospital facilities operated by a disregarded entity of which a member included in the group return is the sole member, hospital facilities operated by a joint venture treated as a partnership to the extent of the group member's proportionate share (determined in the manner described in (4), earlier), and other health care facilities or programs of a member included in the group return even if such programs are provided separately from the hospital's license.

Instructions for Schedule H (Form 990) (2025) Catalog Number 51526B Oct 2, 2025 Department of the Treasury Internal Revenue Service www.irs.gov

Example. The organization is the sole member of a disregarded entity. The disregarded entity owns 50% of a joint venture treated as a partnership. The partnership in turn owns 50% of another joint venture treated as a partnership that operates a hospital and a freestanding outpatient clinic that isn't part of the hospital's license. (Assume the proportionate shares of the partnerships based on capital account percentages listed on the partnerships' Schedule K-1 (Form 1065), Part II, line J, are also 50%.) The organization would report 25% (50% of 50%) of the hospital's and outpatient clinic's combined information on Schedule H (Form 990).

Note that while information from all the above sources is combined for purposes of Schedule H (Form 990), the organization is required to list and provide information regarding each of its hospital facilities in Part V, Sections A, B, and C, whether operated directly by the organization or through a disregarded entity or joint venture treated as a partnership. In addition, the organization must list in Part V, Section D, each of its other health care facilities (for example, rehabilitation clinics, other outpatient clinics, diagnostic centers, skilled nursing facilities) that it operated during the tax year, whether operated directly by the organization or through a disregarded entity or a joint venture treated as a partnership.

Organizations aren't to enter information from hospitals located outside the United States in Parts I, II, III, or V. Information from foreign joint ventures and partnerships must be reported in Part IV, Management Companies and Joint Ventures . Information concerning foreign hospitals and facilities may be described in Part VI.

Except as provided in Part IV, don't report on Schedule H (Form 990) information from an entity organized as a separate legal entity from the organization and treated as a corporation for federal income tax purposes (except for members of a group exemption included in a group return filed by the organization), even if such entity is affiliated with or otherwise related to the organization (for example, part of an affiliated health care system).

If an organization isn't required to file Form 990 but chooses to do so, it must file a complete return and provide all of the information requested, including the required schedules.

An organization that didn't operate one or more facilities during the tax year that satisfy the definition of hospital facility above shouldn't file Schedule H (Form 990).

Tip: The definition of “hospital” for Schedule A (Form 990), Public Charity Status and Public Support, Part I, line 3, and the definition of “hospital” for Schedule H (Form 990) aren't the same. Accordingly, an organization that checks box 3 in Part I of Schedule A (Form 990) to enter that it is a hospital or cooperative hospital service organization must complete and attach Schedule H to Form 990 only if it meets the definition of hospital for purposes of Schedule H (Form 990), as explained above.