Medicare Claims Processing Manual (Pub. 100-04), Ch. 32 § 12.3
A/B MAC (A) Billing Requirements
12.3 - A/B MAC (A) Billing Requirements
(Rev. 13549; Issued: 12-18-25; Effective: 01-20-26; Implementation: 01-20-26)
The A/B MACs (A) shall pay for counseling to prevent tobacco use services with codes 99406 and
99407 for dates of service on or after October 1, 2016. A/B MACs (A) shall pay for counseling services
billed with codes G0436 and G0437 for dates of service on or after August 25, 2010, through September
30, 2016. Deductible and coinsurance are waived.
A. Claims for counseling to prevent tobacco use services should be submitted using the ASC X12
837 institutional claim format or Form CMS-1450.
The applicable bill types are 12X, 13X, 22X, 23X, 34X, 71X, 77X, 83X, and 85X. Effective April 1,
2006, type of bill 14X is for non-patient laboratory specimens and is no longer applicable for counseling
to prevent tobacco use services.
Applicable revenue codes are as follows:
Provider Type
Revenue Code
Rural Health Centers (RHCs)
052X
Federally Qualified Health Centers (FQHCs)
052X, 0519
Indian Health Services (IHS)
0510
Critical Access Hospitals (CAHs) Method II
096X, 097X, 098X
All Other Providers
0942
NOTE: When these services are provided by a clinical nurse specialist in the RHC/FQHC setting,
they are considered “incident to” and do not constitute a billable visit.
Payment for outpatient services is as follows:
Type of Facility
Method of Payment
Rural Health Centers (RHCs)
All-inclusive rate (AIR) for the encounter
Federally Qualified Health
Centers (FQHCs)
FQHC Prospective Payment System (PPS) for the
encounter
Indian Health Service
(IHS)/Tribally owned or
operated hospitals and hospital-
based facilities
AIR
IHS/Tribally owned or operated
non-hospital-based facilities
Medicare Physician Fee Schedule (MPFS)
IHS/Tribally owned or operated
Critical Access Hospitals
(CAHs)
Facility Specific Visit Rate
Hospitals subject to the
Outpatient Prospective Payment
System (OPPS)
Ambulatory Payment Classification (APC)
Hospitals not subject to OPPS
Payment is made under current methodologies
Skilled Nursing Facilities (SNFs)
NOTE: Included in Part A PPS
for skilled patients.
MPFS
Home Health Agencies (HHAs)
MPFS
Critical Access Hospitals
(CAHs)
Method I: Technical services are paid at 101% of
reasonable cost. Method II: technical services are paid at
101% of reasonable cost, and Professional services are
paid at 115% of the MPFS Data Base
Maryland Hospitals
Payment is based according to the Health Services Cost
Review Commission (HSCRC). That is 94% of submitted
charges subject to any unmet deductible, coinsurance, and
non-covered charges policies.
NOTE: Inpatient claims submitted with counseling to prevent tobacco use services are processed
under the current payment methodologies. In addition, payment is not allowed for inpatients
whose primary diagnosis is counseling to prevent tobacco use.