A 2.3% sales tax on medical devices went into effect on Jan. 1, 2013, as part of the Affordable Care Act to help pay for the increased health insurance coverage under the act. The device industry paid the tax and fought for its repeal. In 2019, it was repealed, according to the Internal Revenue Service. Before the repeal, the tax was on a four-year moratorium, meaning that the sales of taxable medical devices were not subject to the tax after Dec. 31, 2015, the agency added.
