Medical Device Excise Tax Reduces R&D Spending Among Companies

The controversial medical device excise tax introduced as part of the Affordable Care Act has forced device companies to rein in their R&D spending, according to a researcher from Iowa State University. While a moratorium on the medical device excise tax – which has since been extended to 2020 – was passed by Congress in 2015, the tax could have more negative consequences for the medical device industry if it’s reinstated.