Tax on medical device company revenue suspended: 3 points

Medical device manufacturers celebrated the two-year suspension of a burdensome tax on their revenue, which may save the companies billions of dollars, according to MPR news.

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Here are three key points:

 

1. The Congressional Budget Office estimated this tax suspension could save the companies about $5 billion.

 

2. The tax didn’t impact employment much, according to the Congressional Research Service. However, the report also concluded the tax didn’t seem necessary or beneficial.

 

3. Jason McGorman of Bloomberg Intelligence noted the tax suspension will help large medical device companies’ bottom lines.

 

More articles on devices:
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Moody’s: 3 important insights into the orthopedic device industry in 2016
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