A medical group practice with six employed physicians provides MRI services. During the past year, the practice generated $10,000,000 in total revenue, of which $1,000,000 was derived from MRI services and the remainder from office visits and surgery services. The practice participates in the Medicare program.
1. How does the Stark law apply to the provision of MRI services by the medical practice?
2. How would you determine whether the Stark law applies to the distribution of MRI revenue? What do you need to know to understand how Stark applies to the distribution of revenue from MRI services?
3. Assuming that Stark applies, state three ways in which the medical group practice could distribute revenue from MRI services in compliance with applicable law.
4. Would your answer be different if the practice derived $495,000 from MRI services?
The question belongs to Law and it discusses about a scenario where a group of physicians earn money through MRI services and surgeries. The application of Stark law in this case has been discussed.
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