Wednesday, March 13, 2013

NCBR: 'Drive on to repeal medical device excise tax'

 Quoting from the February 6th NCBR article by Steve Lynn:

"Lawmakers introduced Wednesday [Feb 6] a bill aimed at repealing a 2.3 percent excise tax on medical device technology, though Colorado's congressional delegation was mixed in its support of the measure.

U.S. Reps. Erik Paulsen, R-Minn., and Ron Kind, D-Wisc., introduced the measure with a bipartisan group of 175 co-sponsors in the House. U.S. Sens. Orrin Hatch, R-Utah, and Amy Klobuchar, D-Minn., will introduce a similar bill in the Senate...

...Colorado BioScience Association CEO April Giles was in Washington, D.C. on Wednesday [Feb 6] to support efforts to repeal the bill. Companies statewide have cut jobs or halted hiring because of the tax, Giles said.

The tax on companies, regardless of whether they earn a profit, increases companies' effective tax rates from 15 to 40 percent, she said.

'It really takes their corporate tax from, maybe 39 percent, to 55 percent to 80 percent of all revenue,' Giles said. 'That, again, hurts the abilities of companies to grow either through job creation or to funnel that money back into innovative products.'

A bill to repeal the tax passed the House last year, but the Senate did not back it, and President Obama threatened to veto it.

Giles believes this year's bill has more momentum, although some lawmakers have concerns about how to offset a loss in tax revenue, she said."

Link to the full article

  April Giles was quoted from the NCBR article in a post today [Mar 13] at The Dark Daily:

"Furthermore, April Giles, CEO of Colorado Bioscience Association, claimed in an interview with the Northern Colorado Business Report, 'It really takes their [medical device companies] corporate tax from maybe 39% to 55% to 80% of all revenue.' She noted that this increase hurts companies’ ability to grow."

Link to the Dark Daily

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