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Governor Pence Calls on President, Congress to Repeal Medical Device Tax

Press Release

Location: Indianapolis, IN

Governor Mike Pence today sent a letter to President Obama asking him to work with Congress toward repealing the 2.3 percent excise tax on medical devices that was originally passed as part of the Affordable Care Act. Since it went into effect on January 1, 2013, the tax has had a negative impact on the economy and jobs, in Indiana and across the nation.

"Repealing the medical device tax will allow companies to expand and grow jobs, not only in Indiana but across our great nation," writes Pence. "This thriving industry should be allowed to innovate and grow, rather than be hampered by an industry-specific tax."

The life sciences and medical device industry is important in Indiana:

Indiana is second in the nation in exports of life sciences products at a value of more than $9.7 billion.
The life sciences industry provides $55 billion total impact for Indiana's economy.
Life sciences companies employ more than 55,000 Hoosiers, with 20,000 of them employed directly in medical device-related jobs.
Between 2002 and 2009, Indiana added more than 8,800 life sciences jobs, 5,600 of which were in the medical device sector.
The average jobs in Indiana medical device companies pay 56 percent more than the average wage in Indiana.
Medical device industry employment is open to a wide range of Hoosiers, with 53 percent of jobs in the industry not requiring a college degree.

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