Taxable Medical Devices
December 7, 2012
The Internal Revenue Service (IRS) has issued final rules containing guidance on the excise tax imposed on the sale of certain medical devices. A taxable medical device is any medical device listed with the Food and Drug Administration (FDA) and is intended for humans. The term “taxable medical device” does not include any device that is generally purchased by the general public at retail for individual use.
The rule imposes a tax of 2.3 percent of the sale price on any taxable medical device, to be paid to the IRS by the manufacturer, producer or importer making the sale of such device. The rule defines what a taxable medical device is, and outlines any exemptions from the tax.
To learn more about this Final Rule, see this document. Additional information on health care reform can be found on WeKnowReform.com.