Medical device companies have decried Obamacare's 2.3 percent excise tax on the industry as job-killing overreach. But for one major player, C.R. Bard, the amount of the tax it pays in one year is less than what its top executive makes, Bob Herman reports.
Timothy Ring, the longtime CEO of C.R. Bard and one of the highest earners in health care, took home $43.5 million in 2016 based on the actual realized value of his stock, according to a new federal filing. C.R. Bard didn't pay the device tax last year because Congress suspended it for 2016 and 2017, thanks to lobbying from C.R. Bard and the device industry. But the last year C.R. Bard had to pay the excise tax, it amounted to $26.9 million, roughly two-thirds of Ring's pay and less than 1% of the company's total revenue.
One step further: Since Obamacare's medical device tax went into effect in 2013, Ring has made $140.8 million. C.R. Bard, which makes heart devices and catheters, paid an estimated $82 million toward the tax. The tax would be repealed permanently under the Republican Obamacare replacement.