The 2.3% tax on the sale of medical devices is set to start on January 1 and is among the most ruinous of all of the raft of new taxes knitted into Obamacare as it is quickly destroying jobs in the United States as well as crippling a vibrant export industry.
18 Democratic senators have urged the tax be delayed but it ought to be repealed and as negotiations continue between the president and the Speaker, this is a concession the president ought to make and the Speaker ought to gain.
I spoke about the tax on medical devices with Thomas Loarie, Executive Chairman of Mercator MedSystems on Friday’s show. The full transcript is here. Read the whole thing to get a glimpse of the spite with which the tax was conceived and its devastating impact on an industry of relatively small but growing companies. Rarely has a tax been so poorly thought out and so counter-productive in its consequences.