WASHINGTON, D.C. – After the U.S. House voted to repeal the excise tax on medical devices, Indiana’s 8th District Rep. Larry Bucshon (R) says ending the tax will help Hoosiers if it becomes law. Bucshon says 20,000 people across Indiana work in the medical device industry.
The 2.3 percent tax on medical devices was implemented in 2013 as part of Obamacare. However, it was suspended in 2016 and would be reinstated in 2020.
The tax was put into place to help offset the cost of the Affordable Care Act. Rep. Bucshon says the tax repeal would give billions of dollars back to companies, which could use the money to expand operations and hire more workers. The tax applies to medical products, including pacemakers, and collected at the time those items are sold to hospitals before they are billed to patients.
Now, the bill needs 60 votes in the U.S. Senate in order to pass to repeal the tax altogether. Rep. Bucshon says he’s counting on Indiana’s Democrat Senator Joe Donnelly to be among those voting to put an end the tax.
“There are enough votes in the Senate if people like Sen. Donnelly will vote for it and he’s been supportive in the past, so we’ll see,” says Rep. Bucshon.