A Minnesota Republican has introduced legislation in Congress that would repeal a controversial $20 billion tax on medical device companies that is part of federal health care reform.
The tax, intended to help pay for President Obama's health care overhaul, is highly unpopular in Minnesota -- home to some 300 medical technology companies, including the world's largest, Fridley-based Medtronic Inc.
In the wake of Republican efforts to repeal the health care law, U.S. Rep. Erik Paulsen and other Minnesota lawmakers are attempting to eliminate the med-tech tax, too.
"Taxing the medical technology industry to the tune of $20 billion will only stifle growth, innovation and access to the lifesaving technologies U.S. device companies produce," said Paulsen, who introduced the Protect Medical Innovation Act on Tuesday. Paulsen serves as co-chair of the House Medical Technology Caucus.
Sen. Orrin Hatch, R-Utah, introduced companion legislation in the Senate.
Industry legislators and lobbyists for the medical technology industry were successful last year in cutting the original $40 billion tax proposal in half.
JANET MOORE
