Medical Device Tax Suspended For Two Years In Omnibus
The government began collecting the 2.3 percent tax on sales of such devices, like pacemakers and ventilators, in January 2013 to help pay for the health law. But a new tax deal announced Wednesday would suspend those collections until Dec. 31, 2017.
The Associated Press:
Budget Deal Cues Up 2-Year Freeze To Medical Device Tax
A federal budget proposal brought good news Wednesday for Minnesota's medical device companies by freezing for two years a tax on products like pacemakers and ventilators that they have long opposed. The package of tax cuts and spending cued up for final votes in Congress this week would suspend the 2.3 percent excise tax on those devices, ultrasound machines and more that took effect in 2013 as part of the funding mechanism for President Barack Obama's health care law. (Potter, 12/16)
The New York Times:
In Likely Spending Plan, Congress Readies Blows To Obama’s Health Care Law
The legislation will also suspend a tax on medical devices for two years. The device tax, which took effect in 2013, will be suspended through 2017. Congress also agreed to suspend for one year a tax on health insurance providers. The tax applies to insurance purchased by individuals, families and many businesses, as well as to private plans that manage care for millions of Medicare and Medicaid beneficiaries. (Pear, 12/16)