ObamaCare Medical Device Tax Will Cost 43,000 Jobs

The new 2.3% excise tax will roughly double the device industry’s total tax bill and raise the average effective corporate income tax rate to one the highest effective tax rates faced by any industry in the world. Moreover, the new tax will be paid both by firms that have net income and those that do not. The tax will be especially harmful to companies that innovate and tend to suffer losses in the first years or when investing in research and development for a new product but would still be required to pay the tax.

Study by Diana Furchtgott-Roth and Harold Furchtgott-Roth.

Comments (6)

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  1. Joe S. says:

    I think the president forgot to mention this last night in his speech.

  2. Ken says:

    This is actually tragic. These are some of our best paying jobs.

  3. Buster says:

    I have a friend who consults for medical device industry. She says the both device tax and the uncertainty from ObamaCare are causing medical device firms to be very cautious. The money has dried up and nobody wants to invest until they have a better understanding of whether it will pay off.

  4. Jimmy Schmidt says:

    The NCPA is pushing a study commissioned by a Trade Association? Aren’t those supposed to be anti-competitive? Isn’t the NCPA all about the “free market”?

    Snap crackle, guys, check your pigs. They may be flying.

  5. Brian Williams. says:

    Technically speaking, the 43,000 jobs won’t be “lost” as much as they’ll be moving overseas…

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