House Bill Targets Looming $20 Billion Tax On MedTech Industry
Thursday, April 11, 2019
Scott Whitaker, president and CEO of the Advanced Medical Technology Association (AdvaMed), issued the following statement on introduction of bipartisan legislation (H.R. 2207) in the U.S. House of Representatives to permanently repeal the medical device excise tax:
“America’s medical technology industry is facing a $20 billion tax increase at year-end, when the current medical device tax suspension expires. Urgent action is essential to protect future medtech innovations that benefit patients and to avoid putting good-paying U.S. jobs at risk.
“House introduction today of the ‘Protect Medical Innovation Act of 2019’ in the 116th Congress brings us one step closer to ensuring this innovation-stifling burden on the medtech industry never returns, supporting continued American leadership of this vital industry.
“We thank the bill’s lead sponsors, Reps. Ron Kind (D-Wis.), Jackie Walorski (R-Ind.), Scott Peters (D-Calif.), and Richard Hudson (R-N.C.) for their leadership on this issue. This bill – and the strong bipartisan support they have gathered – reflect the high priority this Congress places on patients, jobs, and future investment.
“While past suspensions of the medical device tax have enabled manufacturers to invest in R&D, infrastructure and new hiring – which in turn benefits patients and the U.S. economy – these benefits are at risk. Now that bipartisan legislation to permanently repeal the device tax has been introduced in both the House and Senate, AdvaMed will urge Congress and the administration to act as expeditiously as possible to get rid of the tax once and for all this year.”
Paul LaViolette, Executive Chairman of CardioFocus and Chairman of the Board of Directors for the Medical Device Manufacturers Association (MDMA), issued the following statement today regarding introduction of H.R. 2207, the “Protect Medical Innovation Act of 2019,” in the House of Representatives to fully and permanently repeal the medical device tax:
“MDMA thanks Congressman Kind and Congresswoman Walorski for building a broad bipartisan coalition of 227 original cosponsors who are committed to repealing the medical device tax. The harm this policy caused when it was in place is well known, and we cannot allow the device tax to divert one more dollar away from research and development into the cures and therapies of tomorrow or to destroy one more job.
“MDMA continues the tireless work we began in 2009 with the numerous stakeholders who recognize how important it is that the United States leads the world in medical technology innovation and repealing the medical device tax is a critical part of achieving this common goal.”