Monday, February 4, 2013

Among the provisions in the Patient Protection and Affordable Care Act (Obamacare) that promises to wipe out an entire industry is a 2.3% excise tax on medical device companies


By Attorney Jonathan Emord
Author of "The Rise of Tyranny" and
"Global Censorship of Health Information" and
"Restore The Republic"
February 4, 2013
NewsWithViews.com
Among the provisions in the Patient Protection and Affordable Care Act (Obamacare) that promises to wipe out an entire industry is a 2.3% excise tax on medical device companies. That tax, now in effect, is imposed on gross receipts, not net profits. The tax is now devastating a market characterized by small and mid-sized firms who can ill afford the tax. Medical device companies invest a considerable amount of their profits in research and development, either to invent new technologies to improve patient care or to amend existing technologies in ways that improve patient comfort or medical outcomes. We are about to witness a mass exodus of medical device companies off shore or out of business. We are also about to witness the demise of several medical device companies and, with them, vital technologies used by physicians to help patients. The beneficiaries of the tax reside off American shores. Foreign medical device companies will now experience a market boom as they exploit the market losses that American firms accumulate as a result of this onerous excise tax.

No comments: