RED ALERT: Medical Device Industry Slapped With Hefty Tax Under Obamacare

No Surprise Here: Dems’ Healthcare Reform Proves To Be A Job-Killer

President Obama Promised Economic Growth And Job Creation In Aftermath Of Dems’ Healthcare Takeover:

“President Barack Obama used his weekly radio address to tout the economic benefits of overhauling the health care system, saying that reform would help build a ‘new foundation for our economy to create the good, lasting jobs and shared prosperity of tomorrow.’” (Nia-Malika Henderson, “Obama: Health bill will create jobs,” Politico, 1/9/10)

RED ALERT: New Med Device Tax Promises To Add To The Struggle Of One Of Minnesota’s Most Prominent Industries:

“The new health care law will bring a raft of changes to the medical industry, including an excise tax on many medical devices, and the tax is causing a lot of consternation in one of Minnesota’s most prominent industries. The medical device excise tax aims to raise $20 billion over ten years when it goes into effect in 2013… Minnesota is teeming with companies that make those products. Med tech giants Medtronic, Boston Scientific, St. Jude Medical, and many smaller firms have operations in the state. ‘Minnesota is going to take about 25 percent of the hit on the total tax levied against the medical technology industry,’ said Don Gerhardt, the chief executive of LifeScience Alley, a Minnesota-based trade group representing several industries, including medical device makers… Industry analysts say health reform is mostly a downside for device makers… So, the medical device tax adds to the struggles of an industry that has been beset in recent years with high-profile product quality problems and legal investigations of its marketing practices.” (Annie Baxter, “Excise tax has local medical device makers concerned,” Minnesota Public Radio, 3/29/10)

By Code Red