Invacare: We're passing the device tax onto the market
Medical device maker Invacare reports that it plans to pass on the estimated $1.5 million burden of the medical device tax onto its customers.
Updated at 11:30 a.m. with additional comments from Invacare.
Home healthcare products maker Invacare (NYSE:IVC) doesn't expect to see too hefty a hit to its bottom line once the medical device tax take effect in January, and it expects to shift that cost onto the market, the company announced today.
Invacare "believes that most of its products will be exempt from the tax based on the retail exemption provided in the regulations," according to a press release. "Based on its interpretation of the regulations, the company expects that the impact from the tax when it first takes effect in 2013 will be less than $1.5 million; and it intends to pass it on to the market."