Remember how we were all assured that we’d love Obamacare once we found out what was in it? People are already noticing shrinking paychecks, and with 2013 only three days old, people are already turning to Snopes.com — a site dedicated to debunking urban legends — to make sense of the country’s new Medical Excise Tax. Which most of us know Snopes is not dependable for the truth.
The Medical Excise Tax is real, and it kicked in Jan. 1. In short, it’s a 2.3 percent tax on medical devices. There is a retail exemption that covers “devices that are of a type that are generally purchased by the general public at retail for individual use,” as well as exemptions for eyeglasses, contact lenses and hearing aids.
The tax is supposed to be “hidden” from the consumer, but it was brought to the public’s attention when receipts from hunting and fishing store Cabela’s Sporting Goods showing the tax as a separate line item went viral.