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Congress delays medical device tax for two years
Congress delays medical device tax for two years
Almost no one got everything they wanted out of the Monday deal to reopen the government — except perhaps medical device companies, who managed to fend off an industry-wide excise tax before the first payments were due.
The delay of the
device tax was originally included in the spending package as a sweetener for Republicans who have long opposed many of the Obamacare law’s taxes. The bill also delays the so-called Cadillac tax, a 40 percent tax on high-cost employer insurance, until 2022.
Mark Leahey, president of the Medical Device Manufacturers Association, said in a statement that the group applauds Congress for “protecting medical technology innovation from the destructive impact of the medical device tax,” and urged Congress to pass a permanent repeal of the tax this year.
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