Brad Perriello, Executive Editor
A plan to repeal and replace the Affordable Care Act floated by Republicans yesterday – which critics have already dubbed “Trumpcare” or “Obamacare Lite” – would permanently repeal the medical device tax effective Jan. 1, 2018.
A hold on the 2.3% tax on U.S. medical device sales went into effect at the beginning of 2016 and is slated to expire by the end of this year. The legislative plan released last night by GOP members of the U.S. House of Representatives would kill the tax for good effective Jan. 1, 2018.
“AdvaMed commends the House Ways & Means Committee for moving forward with legislation that will permanently repeal the medical device excise tax. Bipartisan majorities in both the House and Senate are on record in support of repeal of this onerous tax, which has been associated with a significant loss of American jobs,” president & CEO Scott Whitaker said today in prepared remarks. “Repealing the tax will provide medical technology innovators with the long-term certainty necessary to support future job growth and sustainable, cutting-edge R&D that will ultimately lead to the next generation of breakthroughs in patient care and treatment. We urge the House and Senate to act expeditiously to pass this important legislation.”
“MDMA fought against the medical device tax in 2009 when it was first proposed, and when our board members testified before the House Ways & Means Committee in 2012, they made it very clear what the impacts of repealing the medical device tax would be. The 2-year suspension of the tax has proven these predictions to be true with boosts to job creation and innovation, and the inclusion of a full repeal of the medical device tax in reconciliation legislation is a positive 1st step to permanently end this punitive policy once and for all,” said MDMA president & CEO Mark Leahey in a statement.