Non-Binding Resolution May Signal First Step in Repeal of Medical Device Tax
A mere few weeks after its launch, and the Delaware Healthcare Industry Blog is setting the national agenda on Affordable Care Act implementation!
As we bemoaned in a prior blog post, the gradual roll-out of widespread health care reform under the 2010 Patient Protection and Affordable Care Act (the “Affordable Care Act”) saw several new tax increases and other revenue-generating mechanisms come into law in 2013, including a new medical device . The 2.3 percent excise tax is now assessed on the sales price of most medical devices when purchased from a manufacturer, producer, or importer.
Although the medical device tax remains law, the that demonstrate widespread bipartisan opposition to the new tax: took steps on March 21st
“The Senate voted 79-20 to call for repeal of the tax, but the resolution is non-binding and will not change the levy. The symbolic measure will be attached to a non-binding budget measure drafted bythat is expected to pass on Friday.
Full repeal of the tax may be difficult to achieve, given its $30 billion price tag and the opposition of key Senate Democrats, including Majority Leader.”
Naysayers may point out “nonbinding resolution” is not normally the mark of a D.C. power player (or that “the opposition of key Senate Democrats” includes both of the gentlemen sent to Washington by the Diamond State). ’s – one of the 33 Democratic Senators who joined with all of their Republican colleagues in last month’s purely symbolic vote – is suggesting that more formal legislation may follow. Sen. Franken has good reason for optimism; as the points out, the House of Representatives came close to a veto-proof vote on its own anti-medical device tax bill last June. Watch here for further developments!