As Trump was speaking during his news conference I noted that it was utter b/s for Medical Devices (IHI) to be selling down because he said “Pharma” and “Healthcare”. That was because the soon-to-be president was talking about capping predatory and/or unfair pricing practices, which has nothing to do with the Medical Device industry.
Now, according to at least one article, Med Dev is actually slated to be one of the first sectors targeted alright… for tax cuts! The silliness on press conference day got me looking a little deeper into the situation. Not only is the 21st Century Cures Act going help the industry, but…
Under Trump, Congress likely to pull plug on Medical Device tax –Reuters, Dec. 9
It’s not to say that this article is more than wishful thinking, but it certainly illustrates the knee-jerk stupidity of man and machine as they sold down the sector (IHI) when he said “Pharma” and “Healthcare”.
When Donald Trump takes over as president on Jan. 20, one of the first business tax breaks he delivers is likely to go to the U.S. medical device industry and companies like Mark Throdahl’s.
The chief executive of OrthoPediatrics Corp, based in northern Indiana, said his company has been able to hire more workers since the temporary suspension effective last January of a federal tax on medical devices. The tax was imposed as part of outgoing President Barack Obama’s signature 2010 healthcare law.
Throdahl said he hopes the incoming Republican-led Congress and president will permanently repeal the tax.
Trump and U.S. lawmakers are likely to do that, according to lawmakers, lobbyists and industry executives, in a step that also would help larger medical device makers such as Medtronic Inc, Boston Scientific, St. Jude Medical Inc and Johnson & Johnson.
Tax cuts are Republican gospel, and Trump’s new Republican administration is widely expected to make them happen.
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