Washington, D.C. - Today, Congressman Tom Emmer (MN-06) sent a letter to the leadership of the Senate and House Appropriations Committees urging them to address the looming medical device tax in any upcoming spending agreement.
"Minnesota's medical device community has produced life-saving devices, critical research, and has made the United States a world leader in health care technology. Patients deserve access to life-saving devices, and companies dedicated to providing these innovations should not have their hands tied by this onerous federal tax," Emmer said. "This is an issue of significant concern for the residents of the Sixth Congressional District and around my state, and I hope my colleagues will resolve this in time to give certainty to the industry and the patients they serve."
On January 1, 2020, this 2.3% excise tax on all medical devices will take effect. Although the tax has been suspended since 2016, 29,000 jobs were lost when the tax was briefly implemented between 2013 and 2015. During that time, 25 percent of the tax was shouldered by Minnesota businesses. In a state with over 700 medical device companies and nearly 21,000 Minnesotans employed by the industry, this tax is expected to have the same detrimental impact on Minnesota's economy and medical innovation if allowed to take effect in just a few short weeks.
Congressman Emmer's most recent letter follows a Minnesota delegation effort urging bipartisan action to repeal the tax before December 31, 2019. He is also a co-sponsor of the Protect Medical Innovation Act, which would repeal the medical device tax permanently, and is the author of The Medical Innovation Never Stops Act, to allow medical device applications to be processed at the Food and Drug Administration during a lapse in government funding.
Read Congressman Emmer's letter to appropriators here.
Read the Minnesota delegation letter here.
Read more about the Protect Medical Innovation Act here.
Read more about the Medical Innovation Never Stops Act here.