Morristown Sues Medical Center Over Property Tax Exemption

Morristown, known for its central location, business district, and regional medical center often recognized nationwide for achievements in medicine, is suing its medical center.

According to njbiz.com, the town has filed suit against Morristown Medical Center, owned by Atlantic Health System, because of its non-profit status, which exempts the business from having to pay property taxes.

The suit claims the medical center operates because of for-profit physicians and their practices, as well as other for-profit businesses, and shouldn’t be allowed to have an exemption, the report said.

Sanctioned by state law, hospitals in New Jersey are tax exempt because they are considered non-profit. Morristown’s suit against its hospital likely will reach the state Supreme Court, the report said.

A ruling is expected in the next few months.

Should hospitals in New Jersey be tax exempt? Tell us in the comments.

Subscribe to a free email newsletter and breaking news alerts by clicking on the Patch town name: Long Valley • Mendham-Chester • Morristown • Parsippany • Hackettstown • Morris Township • Jefferson • Hopatcong-Sparta • East Hanover-Florham Park • Madison • Chatham • Montville • Tri-Boro