Medicare Home Health Fair Payment Act of 1998

Medicare Home Health Fair Payment Act of 1998 - Amends title XVIII (Medicare) of the Social Security Act, with respect to the computation formula of the interim system of limited payments for services provided by home health agencies, as amended by the Balanced Budget Act of 1997, in order to: (1) create a new formula for cost reporting periods beginning on or after October 1, 1998 with the agency-specific per beneficiary annual limitation calculated on a different basis which still makes use of the agency's census division; (2) revise the rules for new providers for cost reporting periods beginning on or after October 1, 1998; (3) provide for a five percent increase in per visit cost limits for such cost reporting periods; (4) provide for a one year delay in establishment of a prospective payment system (PPS) for home health services and in implementation of the mandatory 15 percent reduction in cost and per beneficiary limits under such interim system; and (5) adjust the home health market basket update for home health services under PPS and such interim system, reducing it by a specified percentage for any cost reporting period beginning in FY 2000 or 2001, and increasing it by another specified percentage for any cost reporting period beginning in FY 2004. Amends the Internal Revenue Code to treat: (1) a taxpayer as having omitted a correct taxpayer identification number (TIN) for purposes of mathematical error assessment if information provided by the taxpayer on the return with respect to the individual whose TIN was provided differs from the information the Secretary of the Treasury obtains from the person issuing the TIN; and (2) as a mathematical error the inclusion on a return of a TIN if it is of an individual whose age affects the amount of the tax credit involved and the computation of such credit reflects the treatment of such individual as being of an age different from the individual's age based on such TIN. Adds the vaccine against rotavirus gastroenteritis to the list of taxable vaccines for Federal sales tax purposes. Limits specified liability losses for purposes of the net operating loss deduction to those attributable to a liability under a Federal or State law requiring the reclamation of land, decommissioning of a nuclear power plant (or any unit thereof), dismantlement of an offshore drilling platform, remediation of environmental contamination, or payment of workmen's compensation. Limits the rule waiving the accrual method requirement for any portion of payment amounts which will not be collected to persons performing services in the fields of health, law, engineering, architecture, accounting, actuarial science, performing arts, or consulting. Applies to any organization a significant trade or business of which is the lending of money the requirement of filing a return relating to the cancellation of indebtedness.