Issued by: Centers for Medicare & Medicaid Services (CMS)

Issue Date: August 01, 2017

Program Area: Vendor Management, Payments, and Collections (VMPC)

Question: How are the Invoice Letter amounts calculated?

Answer: Current payment cycle payments and charges are netted against each other and any outstanding balances from previous payment cycles, if they exist, using the established netting priorities. Any overpayments made by the Issuer are calculated by the Centers for Medicare and Medicaid Services (CMS) and if it is determined a refund is owed, the Issuer will receive a refund of the overpayment in a subsequent payment cycle.

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