California Life Sciences Association Applauds Proposed Delay Of Medical Device Tax In Year-End Tax Agreement
SOUTH SAN FRANCISCO and SAN DIEGO, Dec. 16, 2015 (GLOBE NEWSWIRE) -- California Life Sciences Association (CLSA) issued the following statement from CLSA President & CEO Sara Radcliffe applauding a provision of the Protecting Americans from Tax Hikes (PATH) Act of 2015, a comprehensive tax agreement that delays the 2.3 percent medical device tax for two years, beginning Jan. 1, 2016. CLSA is the nation's largest statewide life sciences public policy, advocacy and business solutions organization serving over 750 life sciences organizations across California.
"California Life Sciences Association (CLSA) applauds congressional leaders for reaching an agreement to temporarily suspend the ill-conceived 2.3 percent medical device tax, which is hampering innovation and investment in medical technology research and development.
"Since its inception nearly 5 years ago, there has been increasing bipartisan support to scrap the medical device tax. While a two-year delay is welcomed news, CLSA and our device members will continue to advocate for full repeal of the tax, which is expected to cost firms nearly $25 billion and continues having an adverse impact on R &D investment and job creation, jeopardizing the U.S. position as a global leader in medical device innovation. California is home to over 1,500 medical technology companies, more than any other state in the nation, employing over 75,000 people with wages averaging $91,000 a year, making the impact of the tax on our state particularly troublesome.
"CLSA applauds this delay and strongly urges our congressional delegation to support this measure and enact the PATH Act to suspend this counterproductive tax on innovation."
California is the global leader in medical technology investment and innovation, with more medical device companies and workers here than anywhere else in the nation. The state is home to 1,662 medical technology firms, which represent the largest segment of the total 281,000 California life sciences jobs, according to the 2016 California Life Sciences Industry Report. To learn more, visit www.CALifeSciencesIndustry.com.
Click here for more information on the tax agreement.
About California Life Sciences Association (CLSA)
California Life Sciences Association (CLSA) is the leading voice for California's life sciences sector. We work closely with industry, government, academia and other stakeholders to shape public policy, drive business solutions and grow California's life sciences innovation ecosystem. CLSA serves over 750 biotechnology, pharmaceutical, medical device, and diagnostics companies, research universities and institutes, investors and service providers. CLSA was founded in 2015 when the Bay Area Bioscience Association (BayBio) and the California Healthcare Institute (CHI) merged to create the state's most influential life sciences advocacy and business leadership organization. Visit CLSA at www.califesciences.org, and follow us on Twitter @CALifeSciences, Facebook, Instagram, LinkedIn and YouTube.
Manager, Communications for CLSA
CONTACT: Will Zasadny Manager, Communications for CLSA Wzasadny@califesciences.org 619-961-8848