Letters

Neurosurgery Sends Comments to the Health Tax Taskforce Regarding the Medical Device Excise Tax

  • Medical Liability Reform

Subject: Health Tax Taskforce Comments

Dear Senators Toomey and Casey,

On behalf of the American Association of Neurological Surgeons (AANS) and the Congress of
Neurological Surgeons (CNS), we appreciate the opportunity to submit comments regarding the
medical device excise tax to the health tax taskforce examining temporary tax provisions.
Neurosurgery is a medical specialty that is highly dependent on advances in medical
technology. As such, repealing the medical device tax is among neurosurgery’s top legislative
priorities.

Since its inception, the AANS and the CNS have long called for the repeal of the 2.3 percent
medical device excise tax due to our concerns that the tax will adversely affect medical
innovation and patient care. Because of medical technology, patients are living longer, healthier
and more productive lives. Over the past three decades, rapid technological advances have
helped increase life expectancy in the U.S., rates for major diseases have been reduced
significantly, and America continues to be a leader in the development of new therapies and
tools for treating deadly or debilitating neurologic conditions such as stroke, degenerative spine
disease, brain aneurysms, chronic pain, traumatic brain injury, Parkinson’s Disease, spinal cord
injury, brain tumors and epilepsy.

Furthermore, it makes economic sense to repeal the medical device tax permanently. For
example, according to a recent report, as many as 195,000 jobs may be lost due to the tax,
either through layoffs or forgone jobs that would have been created. Clearly, our health care system needs innovation to improve patient care and save lives.
Unfortunately, this tax stifles innovation and reduces patient access to new lifesaving
technologies. The AANS and the CNS agree with Chairman Grassley and Ranking Member
Wyden that it is “time for Congress to end its bad habit of waiting until the last minute to extend
temporary tax policy” and that extending “tax incentives for a year or two at a time is no way to
craft public policy.”

We, therefore, look forward to working with you to develop permanent policy solutions that
better support medical innovation and increase treatment options for our patients.

Read full letter here