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Proposed doctors' tax sparks debate in Michigan
Posted: 10.21.2009 at 3:22 AM
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(AP) -- LANSING, Mich. (AP) - Debate continues over whether Michigan should put a 3 percent tax on doctors' gross receipts to raise more money for low-income health care programs. Groups on both sides of the proposal took their case to the state Capitol on Tuesday.

Opponents, including the Michigan State Medical Society, say the tax would drive doctors out of the state and reduce access to health care. Supporters say the tax would give doctors who see Medicaid patients higher reimbursement rates instead of the 8 percent cut contained in Michigan's current budget plan.

The tax could raise about $300 million annually and make the state eligible for more than $800 million in federal Medicaid revenue.

The proposal has passed the Democratic-run House and was the subject of a Tuesday hearing in the Republican-led Senate.

(Copyright ©2009 by The Associated Press. All Rights Reserved.)

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