House Repeals Medical Device Tax with Katko Support
Friday, June 19, 2015
U.S. Congressman John Katko (NY-24) today applauded the passage of bipartisan legislation to repeal the Medical Device Tax. The Protect Medical Innovation Act, H.R. 160, which passed the U.S. House of Representatives today with overwhelming bipartisan support, repeals the 2.3% tax on medical device manufacturers that was put in place to fund Obamacare. Representative Katko is an original co-sponsor of this legislation.
“The medical device industry is one fueled by innovative small businesses and manufacturers. But this tax places significant burdens on device makers by hindering job expansion, economic growth, innovation, and global competitiveness,” said Rep. Katko. “At home and across our country, this onerous tax has forced companies to make difficult business decisions that affect their workforce, research and development investments, and future company plans -- all in order to compensate for this misguided tax policy.”
The Medical Device Tax places a unique threat on Central New York’s economy and on New York State as a whole. New York’s vibrant med-tech industry is the 8th largest in the nation, employing over 8,000 employees in Upstate New York. The 24th Congressional District is home to small business innovators and large medical device manufacturers, including Welch Allyn and MedTech.
After today’s vote, Welch Allyn remarked, “The Medical Device Excise Tax imposes a significant burden on innovative device companies throughout the industry. Welch Allyn applauds the continued efforts of Representative Katko and his colleagues in the House to repeal the tax and is eager to see passage of repeal in the Senate soon.”
“House repeal of the medical device excise tax is a critical step forward," MedTech President Jessica Crawford commented. "We thank Rep. John Katko for his early leadership in the 114th Congress and appreciate recognition by the House of Representatives that this onerous tax stifles innovation and hurts New York's medical technology industry. John Katko realizes the urgency in getting this legislation through the Senate and across the legislative finish line now.”
“Repeal of the burdensome medical device tax has been one of my top priorities in Congress,” concluded Congressman Katko. “I will continue to back broader reforms to help our vibrant med-tech industry and to make it easier to do business in Central New York and across the country.”
Congressman John Katko represents the 24th Congressional District of New York, which includes all of Onondaga, Cayuga, and Wayne Counties and a portion of Oswego County. For more information, visit https://katko.house.gov.