Ayotte Calls for Repeal of Medical Device Tax During Visit to Keene Medical Device Company

Press Release

During today's visit to a medical device company in Keene, U.S. Senator Kelly Ayotte (R-NH) reaffirmed her commitment to repealing the $28.5 billion Medical Device Tax, an onerous new excise tax on medical devices that is scheduled to take effect in 2013 as part of the Patient Protection and Affordable Care Act. Senator Ayotte, a member of the Senate Small Business Committee, toured Smiths Medical and spent time meeting with employees and discussing concerns with the Medical Device Tax, which threatens New Hampshire jobs and stands to increase costs for consumers. Medicare's Chief Actuary has estimated that the tax will increase national health costs by $18.2 billion in 2018.

"Medical device manufacturers across the state have told me this tax will make it harder for them to invest and grow, and could result in jobs being lost overseas," said Senator Ayotte following the visit. "At a time when our country needs good-paying, sustainable jobs, the Administration's continued push for a medical device tax makes no sense. I will continue my efforts to repeal this burdensome new tax and the federal health care law."

In visits to medical device companies throughout New Hampshire, Senator Ayotte has repeatedly heard firsthand how the tax will stifle innovation and cost jobs. Today's visit coincides with the two-year anniversary of the federal health care law's enactment and comes as the Supreme Court prepares to hear oral arguments challenging the law's constitutionality.

Senator Ayotte is cosponsoring legislation that would repeal the Medical Device Tax, under which medical devices ranging from surgical tools to wheelchairs would face a 2.3 percent excise tax. A recent study estimates that the Medical Device Tax threatens 43,000 jobs nationwide, and could result in $3.5 billion in lost wages. New Hampshire is home to about 50 medical device companies employing approximately 3,800 people.

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