Following a tour and townhall-style meeting at C.R. Bard in Murray Hill, U.S. Rep. Leonard Lance (NJ-07) said he will continue to push for a repeal of the medical device tax and press the Food and Drug Administration to lessen regulatory burdens on the industry, calling it "critical to creating jobs for New Jersey and the Nation."
"The burdensome tax on medical devices will increase costs, stifle investment and ultimately make health care more expensive for patients," said Lance. "Repealing the ObamaCare tax on medical devices will ensure that C.R. Bard and other Garden State companies continue to be world-wide leaders in the medical device industry."
The medical device tax, passed as part of President Obama's health care law, places a 2.3 percent excise tax on medical device manufacturers' sales -- not profits.
According to the Advanced Medical Technology Association, New Jersey is home to more than 20,000 medical device jobs with an average annual salary of nearly $70,000. Those jobs have indirectly created another 43,000 positions in other sectors. And the total economic impact of the device industry in New Jersey alone is nearly $13 billion each year.
"The tax will result in less spending on research and development, escalating costs on the newest technologies, reduced capital investments and ultimately loss of jobs right here at home in New Jersey," said Lance.
Congressman Lance is a cosponsor of legislation to repeal the tax. And last year he joined a strong bipartisan majority in the U.S. House of Representatives in voting to repeal the medical device tax.
In March 2013, the U.S. Senate approved a bipartisan budget amendment calling for the end of a medical device tax. "Repealing the 2.3 percent medical device tax is one of the things both Republicans and Democrats in Washington can agree on," added Congressman Lance.