Tax will apply to other Class I devices
The complicated process by which the Senate and House adopted sweeping health reform legislation ended yesterday with the House's adoption of minor changes that the Senate made to the Health Reform Reconciliation Bill. The final legislation specifically exempts hearing aids from a new medical device tax, and it also eliminates the proposed Class I device exemption which would otherwise have exempted hearing aids from the tax. All hearing aids are, therefore, exempt from the new 2.3% medical device tax which will now be imposed on almost all other devices other than those sold through "retail."
Rep. Carolyn McCarthy (D-NY), lead sponsor of the Hearing Aid Tax Credit, organized much of the opposition to a hearing aid tax. In addition, every Representative who attended an HIA-sponsored local AG Bell/HLAA/IHS event since 2007 in support of the tax credit championed a hearing aid tax exclusion, including Reps Shelley Berkley (D-NV);Dave Camp (R-MI);Ron Kind (D-WI);Allyson Schwartz (D-PA);Mike Thompson (D-CA);Dina Titus (D-NV);and Chris Van Hollen (D-MD). This specific exemption dramatically demonstrates the effectiveness of hearing health organizations working together both in Washington and across the country.
Contact Andy Bopp, abopp@bostrom.com with any questions.