Fix Health Care Policy

Side Effects: Obamacare Tax Will Kill Jobs, Strangle Medical Device Industry

Last week, the IRS released its proposed plan to implement the 2.3 percent excise tax on medical devices designed to help foot the bill for Obamacare.

Harmful effects of the health law’s new taxes and requirements on business continue to emerge as its implementation continues. As Heritage’s Curtis Dubay explains, “All tax increases have negative economic effects because higher taxes take resources from the productive hands of the private sector and transfer them to the wasteful hands of politicians.”

As the National Center for Policy Analysis shows, the medical device manufacturer tax is already hurting Americans by reducing employment:

In November 2011, device maker Stryker Corporation announced its intention to layoff 1,000 workers in order to cut costs in advance of the tax.  (Read the rest on The Foundry…)

Tags: IRS, negative economic effects, ObamaCare, tax increases