Hospital in Charlotte getting charged NC sales tax on electricity. Medical facilities should be exempt under G.S. 105-164.13(18). Duke Energy says they need nonprofit determination letter plus E-595E form. Client is definitely nonprofit - 501(c)(3) for 20 years.
Member Community
Enter your email to read this discussion
You're reading the AAUBA Member Forum — where Certified Utility Bill Auditors share case studies, tariff strategies, and industry insights.
Free to read. Enter your email to continue.
No spam. We'll send you one welcome email about CUBA certification. Unsubscribe any time.
Duke Energy sales tax error - medical facility
Virginia has similar requirements for medical exemptions. Dominion Energy wanted both IRS determination letter and Virginia tax-exempt certificate. Once filed, they processed exemption retroactively for 3 years.
Duke is usually pretty good with medical exemptions. Make sure the E-595E form specifically lists the hospital address and account numbers. They sometimes reject if the paperwork doesn't match exactly.
Got all the paperwork sorted. Duke processed the exemption and issued $16,400 refund for 30 months. Going forward saves $550/month in sales tax.
Nice work! Medical facility exemptions are usually straightforward once you get the documentation right. The refunds can be substantial.