President Barack Obama last month signed an omnibus tax and spending bill that pauses the medical device tax for 2 years. The 2-year hiatus on the 2.3% levy on all U.S. sales of medical devices is estimated to cost $3.4 billion, according to the Joint Committee on Taxation.
Glens Falls, N.Y.-based Precision Extrusion plans to hire 2 or 3 additional workers, according to Edward Bartholomew, president of the Warren County Economic Development Council, the Glens Falls Post-Star reported.
The medical device industry has fought tooth-and-nail against the tax since it was 1st floated as a way to fund the Affordable Care Act. Since then, numerous bills to do away with it have circulated on Capitol Hill, including the “Protect Medical Innovation Act of 2015,” sponsored by Rep. Erik Paulsen (R-Minn.), that the CBO evaluated last summer. In June, 46 Democrats joined the vote to approve the Paulsen measure; after the omnibus spending bill pushed pause on the tax, Paulsen said he’s confident that a permanent repeal is inevitable.