Congressman Pete Olson

Representing the 22nd District of Texas

Olson Acts to Repeal the Medical Device Tax

July 24, 2018
Press Release

Washington, DC – Rep. Pete Olson (TX-22) today acted to protect medical innovation and help patients get the medical devices they need. Olson cosponsored and voted for H.R. 184, the Protect Medical Innovation Act, which permanently repeals the excise tax on medical devices. The Affordable Care Act imposed a 2.3% tax on medical devices within the United States. This unfairly punishes both patients, who are forced to pay more for the lifesaving and life improving devices they need, as well as the companies and workers who make these products. The bill passed the House by a vote of 283-132 and now heads to the Senate for consideration.

“Since the beginning of Obamacare, costs have escalated for doctors and medical professionals to develop new, life-saving technologies to help their patients,” Rep. Pete Olson said. “This tax increases costs for patients in need of specialized care and discourages innovation. We should be encouraging innovation, not burdening this critical industry with unfair taxation and government overreach. A permanent repeal of this tax provides the certainty needed for patients and manufacturers. I was proud to cosponsor this bill, which will encourage new medical innovation, create more jobs and save lives. I urge the Senate to act quickly as well.”

Background on H.R. 184

  • In the 114th Congress, a temporary two-year suspension of the medical device tax was passed by Congress and signed into law by the president.
  • According to the Department of Commerce, 80 percent of medical device companies have fewer than 50 employees and the industry supports 2 million jobs across the United States.


Media Contact: Melissa Kelly