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AMAC Signs Coalition Letter Opposing Pelosi’s Drug Pricing Plan

Pelosi
ATR, Americans for Tax Reform, today released a coalition letter signed by 70 groups and activists, including AMAC, in opposition to the Pelosi drug pricing proposal to create a 95 percent tax on pharmaceutical manufacturers.

As noted in the letter, this bill calls for a retroactive tax on sales that is imposed in addition to existing against income taxes:
 
Under Speaker Pelosi’s plan, pharmaceutical manufacturers would face a retroactive tax of up to 95 percent on the total sales of a drug (not net profits).  

This means that a manufacturer selling a medicine for $100 will owe $95 in tax for every product sold with no allowance for the costs incurred.  

The tax is used to enforce price controls on medicines that will crush innovation and distort the existing supply chain as the signers note:  

“The alternative to paying this tax is for the companies to submit to strict government price controls on the medicines they produce. While the Pelosi bill claims this is “negotiation,” the plan is more akin to theft.”  

This proposal will create significant harm to American innovation to the detriment of jobs, wages, and patients, as the letter notes:  

”[The Pelosi] proposal would crush the pharmaceutical industry, deter innovation, and dramatically reduce the ability of patients to access life-saving medicines.

Print Opposition Letter

Reprinted with permission from - Americans for Tax Reform

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Thomas Patitucci
1 year ago

If this be true companies would be out of business. The cost of goods sold are always removed from the gross receipts before determining net revenue. Is this person for real? Steps can be taken such as importation of drugs from Canada.

K l ebbens
1 year ago

The cost to research new drugs and get it through FDA has been estimated to be close to a billion dollars. Where are the pharma companies going to get that amount. Simply shut down drug research and let people die from no research on new treatments.

Margaret Amador
1 year ago

I am stunned by the ignorance of the people who propose/sponsor this proposal. We are not teaching basic financial knowledge in schools today.
As we all know “Nothing is free”. Somebody always pays for it and the one sure thing we can all count on is that the money will run out at some point.
Unfortunately there are the political competitors who will lie to get a vote at the cost of every taxpayer.

Darlene
1 year ago

Every time the dims come up with a plan it’s pretty scary. If they have to their way we will all be poor and living off the government.
If we don’t grow some big cahunas we are going to be in big trouble.
Vote them out before the turn America into the next Venuzuela!

Constance
1 year ago
Reply to  Darlene

So very true ! We MUST VOTE THM OUT ‼️

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