NTU urges all Representatives to vote “YES” on H.R. 160, the Protect Medical Innovation Act of 2015. This legislation would repeal the burdensome medical device excise tax imposed by the President’s Patient Protection and Affordable Care Act (PPACA), saving taxpayers money and preserving jobs.
The United States is home to the largest medical device industry, providing over 423,000 jobs. However, the 2.3 percent excise tax has triggered a downward spiral in which at least 33,000 jobs were lost or not created in the first year the tax was implemented, according to the Advanced Medical Technology Association (AdvaMed). If left on the books, the tax could continue to cost our economy thousands of much-needed jobs. Major manufacturers in the U.S. have laid-off workers or imposed hiring freezes in an effort to cut costs due to the January 1, 2013 hike, hurting not only our already anemic workforce, but also the investment and innovation critical to maintaining a cutting-edge health care industry.
Not only is the $29 billion tax burden crippling this sector of the economy, many of the higher costs resulting from the new policy will be passed on to consumers who are already struggling to make ends meet. The majority of medical device consumers are seniors on fixed incomes with little financial flexibility to absorb price hikes on products that are often necessities.
It is vital to take every legislative opportunity to shield Americans from PPACA’s many harmful facets. H.R. 160 is an important step that protects both consumers’ choices and wallets, while at the same time eliminating a job-killing tax hike.
A “Yes” vote on H.R. 160 will be considered the pro-taxpayer vote and will be included in our annual Rating of Congress.
If you have any questions, please contact NTU Federal Affairs Manager Nan Swift at (703) 683-5700