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Saturday, October 24, 2009
Dick Morris and  Eileen McGann :: Townhall.com Columnist
Obama Taxes Pacemakers, Heart Valves
by Dick Morris and Eileen McGann
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Will Congress pass Obamacare by the end of the year?

The more fiscal details of the health care bills emerge, the more appalling they seem. The Senate Finance Committee bill includes a broad provision taxing all manner of medical devices. This tax includes such frivolous luxuries as pacemakers, stents, artificial heart valves, defibrillators, automated wheelchairs, mechanized artificial limbs, replacement hips and knees, surgical gurneys, laparoscopic equipment and the like.

President Obama is planning to reduce the cost of medical care by taxing it!

The most recent Gallup Poll reflected that 49 percent of respondents said they believed that the Obamacare plan will increase their health care costs. Only about 20 percent said it would lower them. It is taxes like these that substantiate this kind of concern.

Arguing with Idiots By Glenn Beck

The origins of this new medical device tax are troubling, as well.

The medical device industry had its day at the White House, as did the insurance industry, the drug makers, the nurses and the doctors. In turn, each group heard the White House request that they come up with voluntary cuts in their health care costs and support Obama's proposed changes in return for assurances that Congress would not impose deeper cuts (or, in the case of the doctors, that it would actually rescind cuts already scheduled under current statutes).

But, unlike all these other groups, the medical device industry refused the deal. This posture enraged the tyrants in the White House, who vowed to punish the industry with cuts imposed by Congress. The result was a decision by the revenue-hungry Senate Finance Committee to extract billions in funds from the industry.

The legislation does not work like a sales or excise tax. Rather, it follows the model of the punitive tobacco settlement imposed on cigarette companies in the '90s. It assesses an industry-wide payment that firms must make in proportion to their market share. It bars them from passing along the cost of the assessment by charging more for certain basic products, but allows them to raise the price of others to raise the funds for the fee.

So, the result will be that virtually every piece of advanced surgical equipment will be subject to a price increase to meet the levy from Washington. No matter that these devices often make the difference between life and death and that, in effect, taxing them raises the cost of vital treatments. The vengeful White House will have its pound of flesh from the medical device industry for daring to be independent and refusing to knuckle down to administration pressure.

This tax, imposed in a spirit of haughty arrogance, falls on totally inappropriate objects. Valves, prosthetic limbs, pacemakers, hearing aids and such are essential therapies that make life longer, better and less painful. To tax them makes no sense -- except in the world of sharp elbows and interest group politics that grips this take-no-prisoners and show-no-mercy White House.

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About The Author
Dick Morris, a former political adviser to Sen. Trent Lott (R-Miss.) and President Bill Clinton, is the author of Condi vs. Hillary: The Next Great Presidential Race. To get all of Dick Morris’s and Eileen McGann’s columns for free by email, go to www.dickmorris.com
 
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William wrote
10:01 pm: "You must retain to yourself the right to decide."

You again state the truth. It is the means to retain one's right to decide anything that is important. The real issue is with this medical care system is it's overwhelming limitations on us to make important life choices. I cannot eat turtle eggs even if I want to. I cannot drive on the left side of the street legally. I may not be able to decide on certain medical procedures that could save my life if they are taxed and regulated out of possibility. And that is slightly different from which side of the street to drive on. But the real problem is that I may want to spend my money on a steak once in a while, but if I am paying for your sex change operation I won't be able to afford it. One man's meat is another man's poison, it seems.

YEAH!!
And he's still in the White house!
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