The state will appeal a superior court judge's ruling that a tax on New Hampshire's hospitals that brings in $185 million annually is unconstitutional.
Senior Assistant Attorney General Mary Ann Dempsey said Monday that the state will appeal last week's ruling with the state Supreme Court within 30 days. She said the tax is allowed under federal Medicaid regulations.
The ruling covered the 2011 tax year, but the 2013 state audit said the parties agreed the ruling would only apply to the 2014 and future tax years. If upheld, the hospitals could ask the state to refund perhaps $100 million or more in tax payments for 2014. It also means lawmakers must plug a similar size hole in next year's budget.
Legislative leaders were still assessing the impact Monday.