The medical device excise tax could result in a loss of 21,390 full-time jobs and a GDP reduction of $1.7 billion, according to a report from the Tax Foundation, a nonpartisan, business-friendly think tank.
According to the report, the tax is projected to raise about $25 billion over the next 10 years. Other research from the Medicare Payment Advisory Commission reported that there was a job loss of 29,000 when the tax was in effect from 2013 to 2015.
The medical device tax was enacted as part of the Affordable Care Act in 2010 and previously reduced innovation and research and development in the industry when it was in effect.