chanel
Silver Member
The tax is slated to go into effect next year, and is part of a plan to help pay for expanded health insurance coverage provided for in the federal law. In June, a bill to repeal the tax passed the U.S. House of Representatives by a vote of 270 to 146.
The repeal is expected to face difficulty in the U.S. Senate, and according to a statement from the White House Office of Management and Budget, senior advisers to President Obama are likely to recommend a veto of the bill if it gets that far.
Read more: The Herald-Sun - Perdue joins call for medical device tax repeal
The medical technology industry is a unique American success story. New Jersey has been at the center of that success.
The state is home to more than 20,000 medical device jobs. And theyre good, high-paying jobs, with the average annual salary of nearly $70,000.
Those jobs have indirectly created another 43,000 positions in other sectors. The total economic impact of the device industry in New Jersey alone is nearly $13 billion each year.
Small firms are the norm in this industry. Fully 80 percent of domestic device developers have fewer than 50 employees. Start-ups will be particularly imperiled by this tax.
As a result, firms may choose to expand their operations elsewhere. Indeed, one survey found that more than 87 percent of medical device companies expect their foreign growth to exceed domestic growth in the coming years. This is bad news for New Jersey along with the rest of the nation
U.S. tax on medical devices a huge burden | NJ.com
Of course Obama will veto the repeal. Sending jobs overseas and destroying small businesses is all part of the plan...
Comments?