MITA Applauds House of Representatives for Voting to Permanently Repeal the Medical Device Tax
Repeal Expected to Deliver Immediate Benefits to the American Economy, Boost R&D Investments, and Increase Job Growth
Washington, DC, July 25, 2018 --(PR.com)-- The Medical Imaging & Technology Alliance (MITA) – the leading organization and collective voice of medical imaging equipment, radiopharmaceutical manufacturers, innovators, and product developers – applauded the U.S. House of Representatives strong, bipartisan passage of the Protect Medical Innovation Act (H.R. 184). 57 Democrats joined 226 Republicans on the vote to permanently repeal the medical device tax.
“The House took action to safeguard America’s medical device industries from this harmful tax that would have slowed the pace of new product development and delayed patient access to the next generation of life-enhancing treatments and technologies,” said Patrick Hope, Executive Director of MITA. “Those members who voted for repeal demonstrated commendable leadership by standing up for one of the most innovative and dynamic sectors of the American economy.”
Congress originally enacted the 2.3 percent excise tax on the sale of medical devices in order to partially fund the Affordable Care Act. The tax had twice previously been suspended, most recently as part of a bipartisan agreement enacted earlier this year. However, that suspension was set to expire on January 1, 2020.
According to a survey of leading medical device manufacturers, almost 70 percent of firms said that a permanent repeal would make them more likely to hire in the future. Another 60 percent said they would invest some of the resources currently designated to cover the tax into additional research and development spending.
“Today’s vote demonstrates that protecting America’s medical technology industries, and the patients their products serve, is essentially a non-partisan matter,” Hope added. “The Senate should quickly take corresponding action and vote to send permanent repeal legislation to the President. It is the best possible way to end the uncertainty that has stifled investments in hiring and R&D for too long.”
The Medical Imaging & Technology Alliance (MITA), a division of NEMA, is the collective voice of medical imaging equipment manufacturers, innovators, and product developers. It represents companies whose sales comprise more than 90 percent of the global market for advanced medical imaging technology. For more information, visit www.medicalimaging.org. Follow MITA on Twitter @MITAToday.
“The House took action to safeguard America’s medical device industries from this harmful tax that would have slowed the pace of new product development and delayed patient access to the next generation of life-enhancing treatments and technologies,” said Patrick Hope, Executive Director of MITA. “Those members who voted for repeal demonstrated commendable leadership by standing up for one of the most innovative and dynamic sectors of the American economy.”
Congress originally enacted the 2.3 percent excise tax on the sale of medical devices in order to partially fund the Affordable Care Act. The tax had twice previously been suspended, most recently as part of a bipartisan agreement enacted earlier this year. However, that suspension was set to expire on January 1, 2020.
According to a survey of leading medical device manufacturers, almost 70 percent of firms said that a permanent repeal would make them more likely to hire in the future. Another 60 percent said they would invest some of the resources currently designated to cover the tax into additional research and development spending.
“Today’s vote demonstrates that protecting America’s medical technology industries, and the patients their products serve, is essentially a non-partisan matter,” Hope added. “The Senate should quickly take corresponding action and vote to send permanent repeal legislation to the President. It is the best possible way to end the uncertainty that has stifled investments in hiring and R&D for too long.”
The Medical Imaging & Technology Alliance (MITA), a division of NEMA, is the collective voice of medical imaging equipment manufacturers, innovators, and product developers. It represents companies whose sales comprise more than 90 percent of the global market for advanced medical imaging technology. For more information, visit www.medicalimaging.org. Follow MITA on Twitter @MITAToday.
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Medical Imaging and Technology Alliance
Tracy Cullen
703.841.3282
https://www.medicalimaging.org/
Tracy Cullen
703.841.3282
https://www.medicalimaging.org/
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