Skip to content
Catholic Online Logo

By Catholic Online (NEWS CONSORTIUM)

12/6/2012 (2 years ago)

Catholic Online (

Tax will cover everything from pacemakers, sutures, surgical implants

After weeks of planning and negotiations, the U.S. Internal Revenue Service has released the final rules governing new taxes on medical devices. The tax will cover all items, such as surgical sutures to knee replacement implants. The tax will become effective in 2013 under the umbrella of President Barack Obama's 2010 healthcare law.


By Catholic Online (NEWS CONSORTIUM)

Catholic Online (

12/6/2012 (2 years ago)

Published in Politics & Policy

Keywords: Medical device tax, medical devices, fiscal cliff, eyeglasses, contact lenses and hearing aids

LOS ANGELES, CA (Catholic Online) - Effective after December 31, the 2.3-percent tax must be paid by those who manufacture the device-makers based upon their gross sales. The tax is expected to raise $29 billion in government revenues through 2022.

Companies affected by the new tax rule include Boston Scientific Corp, 3M Co and Kimberly-Clark Corp has been lobbying the U.S. Congress for a repeal of the tax.

A repeal bill passed the Republican-controlled U.S. House of Representatives in June. It has not been voted on by the Democratic-controlled Senate.

Currently, many medical devices are sold over-the-counter without a doctor's prescription. The IRS says that such items as eyeglasses, contact lenses and hearing aids are exempt from the tax, as are prosthetics.

The new tax applies mostly to devices that are used and implanted by medical professionals, including such complex items or as rudimentary as tongue depressors.

Experimental cancer treatment devices are not exempt from the tax.

Some medical device companies are hoping to delay the tax's start date as part of a resolution of the "fiscal cliff" deadline at the end of the year involving several taxes and spending measures.

"We would like to be part of the punt," chairman of Cook Group Inc., Steve Ferguson said, referring to an extension of current tax policy into 2013.

Director at PricewaterhouseCoopers LLP as well as a former IRS official, Lew Fernandez points out to one potentially problematic aspect of the tax. Upon implementation, companies selling dual-use products to medical and non-medical customers must pay the tax on those products, potentially putting them at a competitive disadvantage.

For example, it remains "an open question" when latex gloves come under the tax, he said.


Pope Francis: end world hunger through 'Prayer and Action'

Copywriter 2015 - Distributed by THE NEWS CONSORTIUM

Pope Francis Prayer Intentions for October 2015
That human trafficking, the modern form of slavery, may be eradicated.
Evangelization: That with a missionary spirit the Christian communities of Asia may announce the Gospel to those who are still awaiting it.


More Politics & Policy

What to expect from tonight's debate: a Clinton charm offensive Watch

Image of If Hillary Clinton charms the audience, the nomination will be hers.

By Marshall Connolly (CALIFORNIA NETWORK)

Tonight's first Democratic debate will be a make-or-break event for all of the contenders. In contrast with the Republican debates, where nearly three dozen people have cast their hat into the ring and all are simply jockeying for recognition, the first Democratic ... continue reading

Gennifer Flowers expresses her fears from the Clinton Crime Family Watch

Image of

By David Drudge, The California Network (NEWS CONSORTIUM)

Gennifer Flowers is back in the spotlight and this time she is going after Hillary Clinton, referring to her claims that Clinton is campaigning on behalf of women "a joke." LOS ANGELES, CA (Catholic Online) - Gennifer Flowers spoke out against Hillary Clinton last ... continue reading

All pork products banned from federal prisons, by order of Obama Administration Watch

Image of The Bureau of Prisons maintains the food supply of 206,000 federal inmates, and runs 122 federal penitentiaries. Inmates are served three meals a day. Authorities say that the pork ban was based upon a survey conducted by inmates.


In a move that seems suspiciously Muslim in nature, the Obama administration has banned all pork products in federal prisons. The federal Bureau of Prisons, a subdivision of President Barack Obama's Justice Department, is following the edict. The administration ... continue reading

NOT EVEN CLOSE: Obama administration falls short of ending child hunger in the U.S. Watch

Image of A pledge, on the part of U.S. President Barack Obama to eradicate childhood hunger in the United States by 2015, has fallen noticeably short.


A pledge, on the part of U.S. President Barack Obama to eradicate childhood hunger in the United States by 2015, has fallen noticeably short. "Needless to say, the nation is not close to eliminating childhood hunger in this - the target - year," Food Research ... continue reading

Kevin McCarthy quits speaker race amid allegations of affair with Renee Ellmers Watch

Image of Majority Leader Kevin McCarthy (R-CA) pictured with Renee Ellmers (R-NC)


According to Washington insiders, Kevin McCarthy (R-CA) is having an affair with Renee Ellmers (R-NC). McCarthy dropped out of the Speaker race, and may have done so because an unknown insider is circulating a surveillance video on Capitol Hill, of him dining with ... continue reading

President Obama faces uphill battle with Pacific Rim trade pact Watch

Image of The Trans-Pacific Partnership is being battered on both sides of the right and the left in the U.S.

By Catholic Online (NEWS CONSORTIUM)

United States President Barack Obama has hailed the Trans-Pacific Partnership (TPP) the largest free-trade agreement in a generation, as its completions will open new markets for U.S. goods and services. While Obama says the agreement will give "our workers the fair ... continue reading

California Governor Jerry Brown signs 'End of Life Option Act' Watch

Image of

By Catholic Online (NEWS CONSORTIUM)

California Governor Jerry Brown has signed the "End of Life Option Act" into law this week. While he remained largely ambiguous about the bill, he came forward with the statement that the "Crux of the matter is whether the state of California should continue to ... continue reading

Trans-Pacific Partnership faces criticism in Congress Watch

Image of Citizen protests the Trans Pacific Partnership (AFP).


The controversial Trans-Pacific Partnership has been finalized and will be presented to business leaders by US President Barack Obama. However, Congress has already shown skepticism over the pact. LOS ANGELES, CA (Catholic Online) - Twelve countries in the Pacific Rim ... continue reading

#IAmaChristian: Ben Carson honors the Oregon shooting's fallen students Watch

Image of Ben Carson (Facebook).


Nine were shot dead during the recent horrifying shooting at the Umpqua Community College in Roseburg, Oregon where a student claimed the gunman specifically targeted the religious. Following the claim, Republican presidential candidate Ben Carson started a social ... continue reading

Supreme Court to render decisions on sensitive topics of abortion, birth control, race Watch

Image of An even more pressing issue to go before the court will be the issue of religious freedom coupled with President Obama's health care reform.

By Catholic Online (NEWS CONSORTIUM)

The Supreme Court is rolling up its sleeves to render decisions that have long roiled the United States: abortion, birth control, religious freedom, and race. None of the pending decisions is likely to have the same import as the recent decision regarding ... continue reading

All Politics & Policy News


Newsletter Sign Up icon

Stay up to date with the latest news, information, and special offers

Subscribe to Catholic OnlineYouTube Channel

Daily Readings

Reading 1, Romans 1:16-25
16 For I see no reason to be ashamed of the gospel; ... Read More

Psalm, Psalms 19:2-3, 4-5
2 day discourses of it to day, night to night hands ... Read More

Gospel, Luke 11:37-41
37 He had just finished speaking when a Pharisee ... Read More

Saint of the Day

Saint of the Day for October 13th, 2015 Image

St. Edward the Confessor
October 13: Edward the Confessor was the son of King Ethelred III and his ... Read More