Friday, June 8, 2012

Repeal of Medical Device Excise Tax will Benefit Triad Companies

It's good news for local company Cook Medical and others that produce life-saving medical devices that a U.S. House committee approved the repeal of a tax that was scheduled to be implemented in January 2013.

The House Ways and Means Committee on Thursday gave the OK to the "Protect Medical Innovation Act of 2011," which is meant to prevent an excise tax that would have been placed on medical devices. Congress should pass the act.

The tax would also affect research and development investment for medical devices like those produced by Cook Medical. This could lead many such companies to move their operations, jobs and plants overseas.

Cook Medical employs about 537 in its endoscopy division in Winston-Salem. Employees design, develop and manufacture medical devices that are used to perform minimally invasive medical procedures such as colonoscopies.

Members of the North Carolina congressional delegation from both sides of the aisle cosponsored the legislation to repeal the tax, including Sen. Richard Burr, Rep. Walter B. Jones, Rep. Larry Kissell, Rep. Mike McIntyre, Rep. Virginia Foxx, Rep. Sue Myrick and Rep. Howard Coble. It is expected to pass the House. We hope it will pass in the Senate as well. More.

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