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Medical Device Tax and the iPhone: Grover Norquist's Anti-Tax Group Jumps on New Argument for Repeal

Fri, 03/08/2013 - 3:05pm
Mass Device

First the IRS was coming for your medical device, now your iPhone too? An old tax foe jumps into the fray in the medical device tax repeal fight.

Conservative tax-reform activist Grover Norquist is putting some of his organization's muscle behind a mostly GOP-fueled effort to paint the medical device excise tax as a danger to smartphones and tablets.

In an op-ed for The Hill, Katie McAuliffe wrote that there is legitimate concern that smartphones, tablets and other hand-held devices could be unnecessarily taxed under the new 2.3% medical device excise tax because the FDA has not clearly stated whether or not mobile devices that run health apps could be interpreted as medical devices themselves.

"This is a legitimate question for clarifying tax authority, and a clear consequence of passing a monolithic bill without a thorough reading," McAuliffe wrote.

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