AdvaMed: Toss $40B Medical Device Tax in Healthcare Proposal

The Advanced Medical Technology Association (AdvaMed) will not support a $40 billion tax on medical device firms that is included in a draft healthcare reform proposal from Sen. Max Baucus (D-Mont.), according to Stephen J. Ubl, president and CEO.

“AdvaMed supports broad-based health care reform that will ensure all Americans have access to quality, affordable health care. From the outset, we have worked with congressional leaders and the White House to help achieve this important goal for our nation. However, our industry will vigorously oppose the proposed $40 billion tax on medical devices and diagnostics that is included in the draft reform proposal.

Ubl also responded to President Obama’s Wednesday night healthcare reform speech. He said AdvaMed supports:

• key systemic changes that will achieve critical efficiencies and improve patient care, including coordination of care, preventive health measures, value-based purchasing, and comparative effectiveness research—done the right way.

• policies that encourage innovation and appropriate use of technology and diagnostics.

• policies that preserve patient and physician choice regarding individual treatment options.

“The medical technology and diagnostics industry will continue to work with Congress and the administration to achieve broad health care reform that is good for all Americans and furthers America’s leadership in advanced medical treatments, he said.