Congressman Seeks to Repeal Medical Device Tax

Rep. Erik Paulsen (R-Minn.) has introduced the Defend Medical Innovation Act, legislation that would immediately repeal the 2.3 percent excise tax included in healthcare reform, which would take effect in 2013.

“The medical technology industry is an American success story, responsible for life-saving technologies and tens of thousands of jobs in Minnesota alone,” said Paulsen, who is co-chairman of the House Medical Technology Caucus. “Once it takes effect, this tax will harm job growth, slow innovation and raise costs. The right thing to do is stop this tax now, before its negative impact takes hold.”

Paulsen pointed out in a statement that there are approximately 8,500 medical device firms in the United States, and they employ over 350,000 people. In addition, the average salary for workers in this sector is $70,000, or 49 percent more than the average private sector job, and 18 percent more than the average manufacturing job.