This medical device tax is just not going to end well

posted at 2:41 pm on November 15, 2012 by Erika Johnsen

Conventional wisdom: If you want less of something, put a tax on it. Obamanomics wisdom: Put a tax on… medical devices?! I.e., add another barrier to the industry whose slightest innovations can directly result in streamlined costs, improved efficiency, better health-care options, and saved lives? What the what?

Embedded within the shadowy depths of the Patient Protection and Affordable Care Act (sometimes, I like to use its official name just to re-appreciate the irony of “patient protection” and “affordable”) is a 2.3 percent excise tax on the sale of taxable medical devices by the manufacturer/importer — and it’s no small thing. Happening now:

Medical device executives will descend on Capitol Hill today to press members of Congress to address the 2.3% medical device tax before it takes effect in January. …

“Without action from Congress, implementation of the medical device tax will cost our economy thousands of high paying jobs,” MITA executive director Gail Rodriguez said in prepared remarks. “These job losses will directly impact patient access to the most advanced, life-saving medical technologies available.” …

The letter includes support from physician groups, venture capital firms and other organizations asking the Senate to repeal the 2.3% levy on medical device sales, which device makers will start paying in at the start of next year.

The tax won’t actually hit until this January 1st, but the repercussions are already making themselves felt in the industry. Some more startling details from industry experts, via Politico:

Medical innovation is key to providing cutting-edge, lifesaving technologies to patients. Between 1980 and 2000, new diagnostic and treatment tools helped increase life expectancy by more than three years. But the new tax will take money from our research and development pipelines, reducing our ability to discover and develop lifesaving medical devices such as heart valves, molecular diagnostic tests and MRI machines. …

Many of the novel, cutting-edge medical technology innovations come from small companies with very few employees. Unfortunately, the medical device tax will hit these small companies and startups hardest, because it will be applied on sales, regardless of whether a company is making any profit. Small businesses often suffer losses in the early years of operation when they are investing in research and development on new products. Paying a sizable new tax while incurring traditional startup-driven losses will be more than many small businesses can bear. …

This innovation tax also targets an American manufacturing sector created by companies choosing to locate in the United States even as markets grow beyond our borders. … The U.S. accounts for 40 percent of the global medical technology market. We have a $5.4 billion trade surplus because American workers create high-tech, top-quality medical devices…

And yet, this tax threatens these gains. At least three studies have estimated the tax will cost tens of thousands of jobs — by one estimate as many as 43,000 jobs.

If the Democrats’ real goal with ObamaCare is really all about bringing down medical costs and improving patient care, they’ve sure got a funny way of showing it. The logic eludes me.

In other ObamaCare-related news, here’s yet another new study confirming the oncoming disincentives for doctors to go into primary care, via ABC. …We haven’t even finished writing ObamaCare — I can hardly wait to see what kinds of good times we’ll have once this thing actually gets officially started.

The United States will require at least 52,000 more family doctors in the year 2025 to keep up with the growing and increasingly older U.S. population, a new study found.

The predictions also reflect the passage of the Affordable Care Act — a change that will expand health insurance coverage to an additional 38 million Americans.

“The health care consumer that values the relationship with a personal physician, particularly in areas already struggling with access to primary care physicians should be aware of potential access challenges that they may face in the future if the production of primary care physicians does not increase,” said Dr. Andrew Bazemore, director of the Robert Graham Center for Policy Studies in Primary Care and co-author of the study published Monday in the Annals of Family Medicine.


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Who is the dunce that inserted this gem into Obamacare?

ctmom on November 15, 2012 at 2:48 PM

I’m on an insulin pod system for my Type 1 diabetes.

My payment for my pods went from $155/3months to $332/3months.

Its scary how quickly the Medical Device industry is getting screwed because they didn’t play with the crony capitalist ball.

(BTW my spouse is a primary care physician too!!!)

Defenestratus on November 15, 2012 at 2:49 PM

“Without action from Congress, implementation of the medical device tax will cost our economy thousands of high paying jobs,”

Well, I see your problem right there.

Obama doesn’t believe in high-paying jobs. That’s not fair to people with low-paying jobs.

The Rogue Tomato on November 15, 2012 at 2:49 PM

You have to pass it to know what ‘s in it…

sandee on November 15, 2012 at 2:50 PM

Oh, and thanks Roberts….

sandee on November 15, 2012 at 2:51 PM

This is not “unintended consequences”.

Pure, deliberate sabotage.

Nothing well meaning about this, at all.

listens2glenn on November 15, 2012 at 2:53 PM

“Without action from Congress, implementation of the medical device tax will cost our economy thousands of high paying jobs,”
Well, I see your problem right there.

Obama doesn’t believe in high-paying jobs. That’s not fair to people with low-paying jobs.

The Rogue Tomato on November 15, 2012 at 2:49 PM

Let. It. Burn.

Khun Joe on November 15, 2012 at 2:53 PM

You know what’s rich? Evah Bayh voted for Obamacare knowing damned well this tax was one of the financing mechanisms to justify the legislation.

He retires because he doesn’t want to get his a** voted out of office, and he latches on to a DC mega-firm as a lobbyist. Then, he miraculously has an epiphany and, in August or September, pens a column for the WSJ criticizing this tax and admonishing all to clamor for its repeal.

Bayh should be sued either for legislative fraud or for legislative malpractice.

BuckeyeSam on November 15, 2012 at 2:56 PM

““Without action from Congress, implementation of the medical device tax will cost our economy thousands of high paying jobs…”

You have to pass it to find out what’s in it…

Seven Percent Solution on November 15, 2012 at 2:58 PM

Good article on the consequences & they will be significant:

http://online.wsj.com/article/SB10000872396390444620104578012281306687070.html

MissMagnolia on November 15, 2012 at 3:00 PM

This is in the Marxist playbook…..

When the majority of Americans wake-up and discover they are living in
a large Cuba….it will be too late….

Then what are you going to do???

I am afraid most will get comfortable – slouching to socialism……

And the rest of the world will be losers as well…..

Disasters? Sorry – you are on your own…..

Wars waged by dictators? Sorry – you are on your own…..

Famine? Sorry – you are on your own…..

And Obama and his Marxist buddies think they will come out ahead???

redguy on November 15, 2012 at 3:01 PM

“We haven’t even finished writing ObamaCare —…”

Then how could they have voted on it…?

(i know, i know)

Seven Percent Solution on November 15, 2012 at 3:02 PM

This has to be the worst piece of legislation passed in history. Years ago they passed some kind of catastrophic care bill for the Medicare population, supported by the AARP, which seniors hated. It was quickly repealed. With Obamacare, changing one thing might collapse the whole thing. We can hope.

bopbottle on November 15, 2012 at 3:03 PM

But, but, EVERYONE is “covered” for free healthcare……//

Of course what these Dem morons (and that applies to the voters as well) could never figure out is – it doesn’t matter if it’s free – if you can’t get it because there’s nothing available.
How much will a simple x-ray now cost? How easy do you think it will be to even get one?

dentarthurdent on November 15, 2012 at 3:03 PM

The U.S. accounts for 40 percent of the global medical technology market. We have a $5.4 billion trade surplus because American workers create high-tech, top-quality medical devices…

Democrats have never passed up an opportunity to kill a gold laying goose.

GarandFan on November 15, 2012 at 3:04 PM

As a primary care physician, I agree with their assessment. The (present yet looming) shortage of PCP’s is not being reported, but it is a HUGE problem. I tell my patients this, and did so before the election. They didn’t believe me.

It will take every atom in my being not to be an “I told you so”-saying jerk over the next few years. If I’m not personally destroyed financially by this mess.

God help us.

DopLar on November 15, 2012 at 3:07 PM

We’re all going to need a good proctology exam

faraway on November 15, 2012 at 3:08 PM

This is not “unintended consequences”.

Pure, deliberate sabotage.

Nothing well meaning about this, at all.

listens2glenn on November 15, 2012 at 2:53 PM

Yes, yes it is. You know many in this country have a lot of emotional trauma knowing that they have some of the best medical care in the world. The only way possible to heal their guilt is to bring the USA down to a third world nation were it deserves to be. No reasonably intelligent person can argue with that.

Frank Enstine on November 15, 2012 at 3:10 PM

With Obamacare, changing one thing might collapse the whole thing. We can hope.

bopbottle on November 15, 2012 at 3:03 PM

Problem is, once Ocare collapses, they’ll impose single-payer on us…

affenhauer on November 15, 2012 at 3:10 PM

Problem is, once Ocare collapses, they’ll impose single-payer on us…

affenhauer on November 15, 2012 at 3:10 PM

they can rename that one “NoCare”…

affenhauer on November 15, 2012 at 3:12 PM

“What’s a ‘medical device?’ That sounds like something made up by Foxnews.” -Average Lefty

visions on November 15, 2012 at 3:14 PM

I never understood the rational behind this. If the goal is to keep costs down, why tax a medical device and thereby increase the costs?

Blake on November 15, 2012 at 3:16 PM

The rule for this type of change is simple. The Republicans should pass a bill to repeal Obamacare in it’s entirety. When anyone asks about this tax, or any other problem with Obamacare, they should simply point them to the pending repeal bill.

End of discussion.

Freddy on November 15, 2012 at 3:18 PM

We’re all going to need a good proctology exam

faraway on November 15, 2012 at 3:08 PM

TSA stands ready to serve the people.

Archivarix on November 15, 2012 at 3:22 PM

I never understood the rational behind this.

Blake on November 15, 2012 at 3:16 PM

Marxists want to hide taxes from the folks. Carbon tax, gas tax, device tax. They become built into the price, and folks wont aaasociate high prices with Leftist politicians.

This is why we must insist that any tax hikes come in the form of higher tax rates. Call it the Obama Tax Reform Act.

faraway on November 15, 2012 at 3:22 PM

I have family members in the medical equipment field so I was very concerned about the affect this tax would have on their business. But, then I found out one of them donated to Russ Feingold’s political campaign in ‘Sconsin and, well, I’m torn…

L.I.B.

Fallon on November 15, 2012 at 3:23 PM

“What’s a ‘medical device?’ That sounds like something made up by Foxnews.” -Average Lefty

visions on November 15, 2012 at 3:14 PM

Just tell them that vibrators, strapons, and rubber dolls are medical devices. Voila, instant conversion to fiscal conservatism…

Archivarix on November 15, 2012 at 3:23 PM

Khun Joe…

Kiss my a$$! I work for the medical device industry. I have worked my a$$ off for the past 20 yrs to get and keep this job and rest assured…I deserve every dime I make. Not so easy to say let it burn when you are looking it directly in the eye.

sandlin71 on November 15, 2012 at 3:24 PM

http://www.breitbart.com/Big-Government/2012/11/13/Obama-Donor-s-Corporation-Lays-Off-Employees-Due-to-ObamaCare

vcferlita on November 15, 2012 at 3:04 PM

I actually have a bit of personal experience with this, as a person who worked for a company that conducted some of Stryker’s clinical trials for them.

They shuttered a whole research department. All of the people were let go that were working within that department. We had to close all the trials that we had operating with that department, and accelerate our timelines to get all of the data to the people there before they left.

When those trials were closed early, it impacted our bottom line, I know that at least the project manager for those trials was let go. Not only that, but those trials represented about 15% of a specific vendor’s software as service sales – all of which were lost.

I always love it when liberals claim that trickle down doesn’t work. Unfortunately it works both ways.

Defenestratus on November 15, 2012 at 3:24 PM

Is this ‘trickle in’ or ‘trickle out’?

faraway on November 15, 2012 at 3:28 PM

Is this ‘trickle in’ or ‘trickle out’?

faraway on November 15, 2012 at 3:28 PM

Either way: in the end, it’ll be “bleed out”…

affenhauer on November 15, 2012 at 3:30 PM

Who is the dunce that inserted this gem into Obamacare?

ctmom on November 15, 2012 at 2:48 PM

I believe Max Baucus and his friends came up with this – along with the “Cadillac” tax on the more expensive policies.

You know this device tax sucks, when people like Elizabeth Warren come out against it.

Hill60 on November 15, 2012 at 3:30 PM

With two kids on insulin pumps, I can hardly wait until January.

batter on November 15, 2012 at 3:32 PM

Who is the dunce that inserted this gem into Obamacare?

ctmom on November 15, 2012 at 2:48 PM

I think that’s why they did it the way they did. No one knows who to blame.

Night Owl on November 15, 2012 at 3:35 PM

Not so easy to say let it burn when you are looking it directly in the eye.

sandlin71 on November 15, 2012 at 3:24 PM

Unfortunately you may very well be looking that in the future. Along with plenty others who have worked 20yrs the same as you. There is only so much money. The longer this goes the bigger the burn when it comes. I am not one of those who wants it to burn but the construction industry flamed out two years ago.

BullShooterAsInElk on November 15, 2012 at 3:41 PM

My daughter used to work for a company that created ophthomology supplies for eye surgeons. The company is finishing up a move to Indonesia. My daughter now lives and works in Turkey in a completely different field. She has options because she is smart and very talented and willing to retrain and relocate. The production workers for that company just flat-out lost their jobs and unless they wanted to re-locate overseas and uproot their families, they were just out of luck.

Lily on November 15, 2012 at 3:44 PM

Those manufacturers should just leave. I’m sure Mexico or Canada or China would welcome them, probably even give them some incentives or free land and stuff.

slickwillie2001 on November 15, 2012 at 3:49 PM

Outcomes? Ask Liam Neeson. Canadian hospitals lack the necessary diagnostic equipment because of rationing. So his wife, Natasha, died:

Since you libs love anectodal evidence so much

Her body had to come to the US so they could figure out what happened to her.

PastorJon on November 15, 2012 at 3:10 PM

Sorry to say – this story is not a valid indictment of Canadian medicine (there are plenty of others though). In this case, she refused medical help for several hours because she felt fine. When the bad headache started, she finally went to see a doctor but by then it was too late. So this was just not a case of poor Canadian medicine.

BTW – Here in the US (Maine) my Dad had a stroke about 6 years ago – instant throbbing headache and loss of vision in both eyes. My Mom got him to the ER fast, and after awhile they gave him tylenol for his headache and told him to go see an opthamologist about his sudden loss of vision – and sent him home. The opthamologist diagnosed the stroke and sent him back to the ER. He survived the stroke with no major paralysis, but it was too late to save his eyesight.

I had the same concern for my son a year ago. He was attacked on the street in a college town 2 hours away from us – hit in the back of the head with a bicycle U-lock – but he didn’t tell us until the next morning when he still had concussion symptoms. I told him to go to the ER immediately, where he got a CT scan that luckily indicated no real damage (like Natasha had). BTW – the ER visit and CT scan cost over $2000 – glad we had decent medical insurance.

dentarthurdent on November 15, 2012 at 3:49 PM

Who is the dunce that inserted this gem into Obamacare?

ctmom on November 15, 2012 at 2:48 PM

Yeah, it really ruined a perfect bill.

Chuck Schick on November 15, 2012 at 3:50 PM

This is a story on the medical device tax as it relates to a particular industry and, though the group calling attention to the tax is called the “Medical Device Manufacturers Association”, the term medical device in Obamacare does not exactly dovetail with the the term used by this organization.

I haven’t looked at the final legislation, but at one time in late draft form of the bill just about everything was called a ‘medical device’ and it was divided into classes. Glasses were included, contact lenses, even tampons were included and taxed, or planned to be taxed. Including tampons caused a big brouhaha, not so much that it was a female issue, but the ridiculousness of it being included along with many other items, and some were taken out.

I don’t know what’s included now but I suspect if items didn’t get the squeaky wheel treatment by the public, it’s probably still in there. I also don’t know what they did to compensate for having to take some out. Dems don’t like buckling under pressure, so I wouldn’t be surprised if there is verbiage giving authority to HHS or some unaccountable board to reapply these taxes at a later date when no one is paying attention.

Anyway, I think this association likely only represents a couple of classes of ‘devices’.

Dusty on November 15, 2012 at 3:54 PM

Yeah, it really ruined a perfect bill.

Chuck Schick on November 15, 2012 at 3:50 PM

missed the sarc tag….

dentarthurdent on November 15, 2012 at 3:55 PM

If I recall correctly, they originally wanted to tax things like tampons with this. Then they decided the device had to cost at least $100. Something like that.

Alana on November 15, 2012 at 3:57 PM

Yeah, it really ruined a perfect bill.

Chuck Schick on November 15, 2012 at 3:50 PM

Stand up Chuck

faraway on November 15, 2012 at 3:58 PM

I see now that Dusty remembers that too.

Alana on November 15, 2012 at 3:59 PM

….add another barrier to the industry whose slightest innovations can directly result in streamlined costs, improved efficiency, better health-care options, and saved lives? What the what?

Ms Johnsen, you should know better. The point is that the tax is a penalty for attempts at saving lives. Obamacare is not supposed to save lives.

DaveDief on November 15, 2012 at 3:59 PM

dentarthurdent on November 15, 2012 at 3:49 PM

I put this in the wrong thread.
Belongs in the “free market medical” thread.

dentarthurdent on November 15, 2012 at 4:00 PM

Quick Question. . . if Obamacare is a tax, then shouldn’t we keep track of how much we are charged for our insurance and how much money we actually spend in a year for medical care, and if we are paying more than we are utilizing shouldn’t we file for a refund via the IRS?

cmsciulli on November 15, 2012 at 4:02 PM

If I recall correctly, they originally wanted to tax things like tampons with this.

Alana on November 15, 2012 at 3:57 PM

A good candidate would have hammered them on their Tampon Tax

faraway on November 15, 2012 at 4:03 PM

A good candidate would have hammered them on their Tampon Tax

faraway on November 15, 2012 at 4:03 PM

You mean the “War on Women Tampon Tax”, don’t you? why do the Democrats hate women so much?

totherightofthem on November 15, 2012 at 4:11 PM

I work for the medical device industry. I have worked my a$$ off for the past 20 yrs to get and keep this job and rest assured…I deserve every dime I make. Not so easy to say let it burn when you are looking it directly in the eye.

sandlin71 on November 15, 2012 at 3:24 PM

My bro-in-law works for the medical device industry, Stryker to be specific. I fear for my niece and nephew, and for you and yours.

Jackalope on November 15, 2012 at 4:11 PM

A couple things about this tax. It applies to sales of these devices. i.e the revenue from them. Not to profits. So even if the company is not profitable the tax applies. With most companies a 10 percent profit is about as good as it gets. On that ten percent profit they pay 35 percent income tax + state income tax if any. But the 2.3 percent tax on revenue, is equivalent to a 23 percent tax on the profits when looking at a 10 percent profit margin. So suddenly that 35 percent tax on income looks like 58 percent.

Dasher on November 15, 2012 at 4:12 PM

You have to pass it to know what ‘s in it…

sandee on November 15, 2012 at 2:50 PM

That’s what the butthole that gave us pelosi said

rik on November 15, 2012 at 4:16 PM

Bayh should be sued either for legislative fraud or for legislative malpractice.
BuckeyeSam on November 15, 2012 at 2:56 PM

Won’t it be grand when he runs for President in 3 years?

txhsmom on November 15, 2012 at 4:26 PM

“…all the wh***s and politicians will look up and shout “Save us!”… and I’ll look down and whisper “No.” They had a choice, all of them. They could have followed in the footsteps of good men like my father or President Truman. Decent men who believed in a day’s work for a day’s pay. Instead they followed the droppings of lechers and communists and didn’t realize that the trail led over a precipice until it was too late. Don’t tell me they didn’t have a choice. Now the whole world stands on the brink, staring down into bloody Hell, all those liberals and intellectuals and smooth-talkers… and all of a sudden nobody can think of anything to say.”

Rorschach – Alan Moore’s The Watchmen Issue 1 Page 1

Wolftech on November 15, 2012 at 4:28 PM

Bayh should be sued either for legislative fraud or for legislative malpractice.
BuckeyeSam on November 15, 2012 at 2:56 PM

Won’t it be grand when he runs for President in 3 years?

txhsmom on November 15, 2012 at 4:26 PM

Naah. Too old and too white, his time has passed. The democratic base expects black male nominees from now on. Even an old white female might not cut it.

slickwillie2001 on November 15, 2012 at 4:29 PM

What will the reaction be when people call up their doctor, if they can find one, and are told the next available appointment for their strep throat is in three weeks? Thats when this blows up is when the soccer mom can’t get her kid into see a doctor in a reasonable period of time. I don’t think Americans will tolerate inconvenience no matter if all of it is “free”. Its not like the government can force people to become doctors, but it certainly can disincentivize people to not become doctors. Private health care is the future for those that can afford it, I already know two primary care physicians that have moved that direction.

Ellis on November 15, 2012 at 4:32 PM

Actually an ingenius plan if you really want to kill off a large portion of your population – especially the elderly.
How easy will it be, and how expensive, to get something as simple and currently commonplace as an x-ray, CT scan, MRI, EEG, EKG, tooth filling (the drill), etc, etc, once this goes into effect? All to be rationed by the same government that pays for the services and also collects taxes on the devices used for them.

So Paul (gubmint) beats and robs Peter (taxpayer) to pay…. himself?
But Peter (taxpayer) gets beaten in the process and only gets back a small portion of what was taken from him to begin with – in the form of poor quality healthcare to heal the beeating he got from Paul….
And Paul convinces the concussion addled Peter that this is actually good for him.

dentarthurdent on November 15, 2012 at 4:32 PM

St. Jude Medical just laid off 700 employees 2 weeks ago. They gave this new tax as their reason and said they will be reviewing staffing again next April after the tax is implemented.

Major Nuisance on November 15, 2012 at 4:33 PM

Said this in another thread a few days ago; I’m *in* that industry right now, and we’ve been seeing the impact. We’ve had a reduction-in-force in anticipation, and companies bigger than us have already released thousands of employees .

I laughed out loud when I saw that Stryker Corporation (medical device manufacturing company) planned to layoff 1200 employees – 5% of their workforce – because of Obamacare – and their owner Jon Stryker was himself a huge donor to the Obama campaign.

Own it, dumbass.

Midas on November 15, 2012 at 4:36 PM

My bro-in-law works for the medical device industry, Stryker to be specific. I fear for my niece and nephew, and for you and yours.

Jackalope on November 15, 2012 at 4:11 PM

Ask him if he knows that Jon Stryker is a) personally a huge donor to the Obama campaign, and b) is in the process of laying off 5% of the Stryker workforce.

Midas on November 15, 2012 at 4:40 PM

Naah. Too old and too white, his time has passed. The democratic base expects black male nominees from now on. Even an old white female might not cut it.

slickwillie2001 on November 15, 2012 at 4:29 PM

Exactly. The Democrats have found their winning combination. Expect this from now on.

totherightofthem on November 15, 2012 at 4:49 PM

My son is starting up a (guess) medical device company. This tax is a killer. God bless him that he wants to do it. Heaven knows we’ve encouraged him to pursue another field.

And doctor/patient relationships are already bad. I’ve never felt more like a piece of meat in my life. And this is as good as it gets.

But why should our country put practicality above idealogy?

COgirl on November 15, 2012 at 4:50 PM

Ask him if he knows that Jon Stryker is a) personally a huge donor to the Obama campaign, and b) is in the process of laying off 5% of the Stryker workforce.

Midas on November 15, 2012 at 4:40 PM

Yes, he knows. He’s pissed.

Jackalope on November 15, 2012 at 4:52 PM

Exactly. The Democrats have found their winning combination. Expect this from now on.

totherightofthem on November 15, 2012 at 4:49 PM

yup – affirmative action all the way to the top – qualifications and actual job skills be danged…..

dentarthurdent on November 15, 2012 at 4:55 PM

vcferlita on November 15, 2012 at 3:04 PM

That’s weird, it sure looks like he wanted the Dems to win. It’s good to see the the social liberals will vote against their economic health (knowingly) for the social issues important to them.

Cindy Munford on November 15, 2012 at 4:59 PM

Midas on November 15, 2012 at 4:36 PM

Maybe he thinks he will make more money long term in the transgender field.

Cindy Munford on November 15, 2012 at 5:01 PM

The one good thing about Obama getting re-elected is that now all the f—ing morons who voted for him have to live with the disastrous consequences of his idiotic policies (and his massive incompetence) for four more years.

The bad thing is that the rest of us do too.

AZCoyote on November 15, 2012 at 5:02 PM

I am afraid most will get comfortable – slouching to socialism……

Seems a majority is already comfortable with that and it sorta goes hand-in-hand with our culture’s slouching towards Gommorah, as Robert Bork put it, contributing to America’s cultural decline and degeneracy.

hawkeye54 on November 15, 2012 at 5:06 PM

The democratic base expects black male nominees from now on.

Actually, the future base may soon expect latino male nominees, since latino growth is vastly outpacing the black population.

hawkeye54 on November 15, 2012 at 5:08 PM

Speaking of aff*rmative act*on, here’s a fun new case from the Sixth Circuit, holding that a state constitutional amendment prohibiting racial discrimination in public education violates the Equal Protection clause — because it makes it harder for people who want race-based education policies to change state law!

http://www.volokh.com/2012/11/15/coming-soon-to-the-u-s-supreme-court-unless-the-court-bans-race-preferences-first/

You can’t make this $hit up.

AZCoyote on November 15, 2012 at 5:10 PM

My medical device company is laying off 600. They are cutting overtime and benefits.

Thanks democrats!

tom daschle concerned on November 15, 2012 at 5:14 PM

I have an old high school friend… ultra lib, who was lashing out at me a few years back on FB over my disgust of Obama. This guy and I used to be best friends in school. After he found out I was a conservative on FB, he kept harassing me and mocking me because I was a Republican. No problem. It was unfortunate but I handled it well. He kept going on and on about how great Obama was going to be and how useless the GOP had been and all.

Well, his business is in medical devices. I wonder how he feels now.

JellyToast on November 15, 2012 at 5:16 PM

JellyToast on November 15, 2012 at 5:16 PM

You should ask him – out in the open in FB – just how well his business is doing under old hopeychangey. How’s that medical device tax going to help his business?

dentarthurdent on November 15, 2012 at 5:23 PM

I have an old high school friend… ultra lib, who was lashing out at me a few years back on FB over my disgust of Obama.
JellyToast on November 15, 2012 at 5:16 PM

I had the same problem with my younger sister, who was married to a hardcore union Dem for many years, although she has been working hard in the IT world and was never union herself. Now that she’s divorcing him, she’s dating a new guy – works for the local water district AND very successful in a side business, very Republican. When I was back there a week ago for our Dad’s funeral, I met him – great guy. Later she basically told me that one night they were just talking and having a casual drink, and after awhile he just smiled and calmly said – “you know, you don’t seem to realize it, but you are actually a Republican”. At first she said she was shocked and tried to deny it – but it didn’t take long for her to realize he was right.

dentarthurdent on November 15, 2012 at 5:30 PM

Ie read a number of posts being angry when someone said Let It Burn. L.I.B. Plain and simple there is no fixing what has happened. With a business leader like Romney there would have been a bunch of pain but eventually he would have turned it. With Obama it is all going to burn down, it has already started. The young women who voted for Barry have no future, no job, no chance, we’ve run out of time the feel good moment has come and gone. When the fluff degrees are earned and they are making lattes at $7 an hourat Starbucks then maybe just maybe reality hits. Reality is a miserable task master but remember this was your choice.

stormridercx4 on November 15, 2012 at 6:00 PM

dentarthurdent on November 15, 2012 at 3:49 PM

They had no air ambulance. She had to be transported to a hospital several hours away by vehicle. And if I remember correctly, that hospital was not equipped to handle head injuries. If she had gotten to a hospital where they could have done neurosurgery, she had a chance to survive.

Blake on November 15, 2012 at 6:42 PM

A couple things about this tax. It applies to sales of these devices. i.e the revenue from them. Not to profits. So even if the company is not profitable the tax applies. With most companies a 10 percent profit is about as good as it gets. On that ten percent profit they pay 35 percent income tax + state income tax if any. But the 2.3 percent tax on revenue, is equivalent to a 23 percent tax on the profits when looking at a 10 percent profit margin. So suddenly that 35 percent tax on income looks like 58 percent.

Dasher on November 15, 2012 at 4:12 PM

Thanks Dasher. This makes the whole mess that much worse.

itsspideyman on November 15, 2012 at 6:46 PM

Defenestratus on November 15, 2012 at 2:49 PM

My out-of-pocket expenses for equipment rental for my sleep apnea treatment was several hundred dollars more this year than last. I expect it to be even higher next year.

malclave on November 15, 2012 at 7:55 PM

They had no air ambulance. She had to be transported to a hospital several hours away by vehicle. And if I remember correctly, that hospital was not equipped to handle head injuries. If she had gotten to a hospital where they could have done neurosurgery, she had a chance to survive.

Blake on November 15, 2012 at 6:42 PM

Possibly – but my point is just that the main delay in treatment was her saying she felt fine and refusing medical assitance for several hours. If she had agreed to accept medical help and transport immediately, despite “feeling fine”, she also may still be alive.

I’m not defending Canada’s health care system, just saying that was not in itself the major delay in her treatment, so this story is not necessarily the best to use for indictment of the Candian healthcare system.

dentarthurdent on November 15, 2012 at 7:58 PM

that Stryker Corporation (medical device manufacturing company) planned to layoff 1200 employees – 5% of their workforce – because of Obamacare – and their owner Jon Stryker was himself a huge donor to the Obama campaign.

Midas on November 15, 2012 at 4:36 PM

Isn’t it amazing how many people will buy the ammunition for their murderer?

Solaratov on November 15, 2012 at 8:43 PM

Keep in mind that in addition to this tax on the back end, on the front end the soon to be implemented America Invents Act will cause added difficulty on businesses and entrepreneurs to secure patents on new medical devices. So we will pay more, for less.

schmitty on November 15, 2012 at 10:58 PM

We are at war with the demonrat commies and the republican party is our army. Lucky us !/s

johnny reb on November 16, 2012 at 5:13 PM

Thank you Erika for bringing attention to the stupid tax. I work in finance at one of the countries largest medical device companies and I can confirm that this tax is already leading to painful cuts going into next year and I imagine it will just get worse as we move along.

brilrodion on November 17, 2012 at 12:16 AM