Medical Device Tax Repeal Should Be Included in Current Legislative Actions, Healthcare Leadership Council Urges Lawmakers

WASHINGTON – With Congress currently considering a continuing resolution to fund federal government operations until later this year, soon to be followed by a measure to raise the federal debt ceiling, the Healthcare Leadership Council (HLC) is contacting lawmakers to urge them to include a repeal of the Affordable Care Act’s medical device tax in one of these legislative packages.

The HLC is a coalition of chief executives from companies and organizations representing all sectors of American healthcare.

HLC is reaching out to members of Congress to urge a repeal of the 2.3 percent excise tax on medical device company revenues, pointing out that the tax has already resulted in significant job losses and is harming patients by undermining investment in new lifesaving and life-strengthening innovations.

“The medical device tax is one of a number of counterproductive taxes, fees and reimbursement reductions in the Affordable Care Act that Congress needs to reconsider,” said HLC President Mary R. Grealy.  “All healthcare sectors are making progress in elevating health system quality, value and cost-efficiency.  Arbitrary taxes and payment cuts impair this progress, harm the economy and limit the tools available to meet the challenges presented by an aging population with escalating rates of chronic illness.”

Ms. Grealy said the medical device tax is a logical starting point for improving the health reform law because prior votes and bill co-sponsorships have confirmed strong bipartisan support for repeal.

In addition to contacting congressional offices, HLC also co-signed an advertisement appearing in Capitol Hill publications tomorrow (Thursday) urging repeal of the device tax.