New York Times: Medtech Firms Bought Senate Vote to Repeal Device Tax

The New York Times published an article condemning the Senate vote to repeal the 2.3% medical device tax. According to the Times editorial board, the vote to repeal the tax is due to congressional lobbying and massive industry donations.While the Senate vote was a nonbinding resolution, it has still been a promising step in the right through the eyes of medical device companies. Many Democrats like Senator Al Franken and Senator Elizabeth Warren initially supported the tax as part of the Affordable Care Act. However, these Democrats and 32 others are now voting to repeal it, assuming that new funding sources can replace the revenue loss.According to the article in the New York Times, "device interests" have sponsored at least two fundraisers for Senator Orrin Hatch, a Utah Republican who drafted the medical device tax repeal amendment. In 2012, the NYT article notes, medtech companies donated $1.4 million to at least 75 U.S. Senators. In addition, over 300 House members received $2.8 million in donations from medtech interests.While the medical device tax is likely to kill both jobs and innovation in the United States, the NYT claims that "there's no evidence the tax will really have that effect." The Times is also one of the few organizations that has made a public effort to block the medical device tax repeal.More Medical Device Tax Stories:Senate Passes 'Symbolic' Resolution Against Medical Device TaxMedtronic to Senate: Kudos for Voting to Kill Device TaxMobile Apps Exempt from Medical Device Tax, Report Says