Medical device companies accused of passing on cost of new tax to customers | Regulatory Doctor

Medical device companies accused of passing on cost of new tax to customers

January 28, 2013 | Rene Letourneau, Editor

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WASHINGTON – Medical device manufacturers are shifting the cost of the 2.3 percent device tax, which went into effect on Jan. 1 as part of the Affordable Care Act, to hospitals and other healthcare providers, the Healthcare Supply Chain Association alleged on Friday.

According to HSCA, some medical device companies are adding a line to their invoices that passes on the cost of the tax to its customers.

[See also: Medical device tax goes into effect despite industry objections]

“Medical device manufacturers should be on notice that passing the device tax on is not acceptable,” said Curtis Rooney, president of HSCA, a trade organization that represents 15 group purchasing organizations.

via Medical device companies accused of passing on cost of new tax to customers | Healthcare Finance News.

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