CO-235Contractual ObligationPayment Adjustment
CO-235 Denial Code: Sales tax
Sales tax component of the claim reflected as an adjustment.
Why CO-235 happens
- ●Taxable items (some DME/supplies in some states) on the claim
How to fix a CO-235 denial
- 1
Post per state tax rules and payer handling
How to prevent it
Configure taxability by item and state in billing systems.
Drowning in CO-235 denials?
OakClaim works every denial within 48 hours and builds prevention rules so they stop recurring.