Republican Congressman Luke Messer says he's hopeful a permanent repeal of the Medical Device Tax can be accomplished before the end of the year. Previous efforts to do away with the tax failed, despite bipartisan support.
The multi-billion dollar medical device industry in Indiana has been pressuring Congress to pass a permanent repeal of the 2.3 percent excise tax since it went into effect as part of the Affordable Care Act in 2013.
Congress passed a two-year suspension of the levy in 2015, but proposals to permanently repeal the tax have been inserted into failed bills, including the American Health Care Act. Messer, who is running for Senate, says he thinks a repeal could be successful as part of a tax reform bill.
"Our best near-term likely chance to do that is going to be through a broader tax package that drops corporate rates for job creators, drops business rates so that employers have more money to hire folks and increase wages and then reduces rates for every working American so they can get a tax cut, too," Messer says.
Both Messer and one of his opponents in the Senate race, Republican Rep. Todd Rokita, voted in favor of the AHCA.
Democratic Senator Joe Donnelly and Republican Senator Todd Young have both voiced support for a permanent repeal of the Medical Device Tax.