California Life Sciences Association (CLSA) applauds the House and Senate passage of legislation that temporarily suspends the ill-conceived 2.3% medical device tax for an additional 2 years, until December 2019.
CLSA today issued the following statement applauding Governor Jerry Brown’s 2018 – 2019 California budget proposal that calls for $30 million to be invested in precision medicine research and the establishment of the California Institute to Advance Precision Health and Medicine (CIAPHM).
On Dec. 20, Congress passed a sweeping overhaul of the tax code in the form of H.R. 1, the Tax Cuts and Jobs Act. While CLSA did not take a position on the overall legislation, we did work in close collaboration and coordination with BIO and our CLSA member companies to ensure that the Orphan Drug Tax Credit – a meaningful incentive for investment in rare disease therapy innovation – was preserved in the final bill passed by Congress.
This month, Reps. Erik Paulsen (R-Minn.) and Jackie Walorski (R-Ind.) and House Ways & Means Committee Chairman Brady (R-Texas) introduced new legislation to provide a 5-year suspension of the medical device excise tax (H.R. 4617). The current suspension of the 2.3% medical device excise tax expires Dec. 31, 2017.
Sara Radcliffe, Pres. & CEO, CLSA & Don Bobo, Corporate Vice President, Strategy & Corporate Development, Edwards Lifesciences, pen an op-ed in The O.C. Register, urging Congress repeal the 2.3% medical device tax. The tax stands to threaten an innovative medtech sector that employs over 22,000 in Orange County and 77,200 statewide.
On Dec. 6, CLSA hosted our annual End of Year Reception on Capitol Hill in Washington, DC. Over 150 guests attended the reception, including California Reps. Tony Cárdenas, Jimmy Panetta), Jackie Speier, and David Valadao, and staff from more than half of our California congressional delegation’s offices.
California Life Sciences Association (CLSA) welcomes the introduction of H.R. 4617, legislation that places a 5-year freeze on the ill-conceived 2.3% medical device excise tax. Without swift enactment of this measure, the medical device tax would further hamper innovation and investment in medical technology research and development.
CLSA was recently featured in BioWorld, regarding the growth of California’s life sciences industry.
CLSA was recently featured in the San Diego Union-Tribune, discussing the growth of the San Diego County life sciences innovation ecosystem.
Congress is currently advancing legislation in both chambers to significantly overhaul the U.S. tax code. Historically, CLSA has focused our tax-related advocacy efforts around: (1) calling for an update and making permanent of the R&D Tax Credit, (2) protecting the Orphan Drug Tax Credit (ODTC), and (3) opposing the creation of and later calling for a repeal of the medical device tax.