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Written by David Castillo
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As a part of the Senate’s comprehensive healthcare reform bill, the public sector will tax elective cosmetic surgeries to help fund the bill.
The 5 percent tax will be applicable to many procedures, including breast augmentation, liposuction, and Botox injections.
Allergan is leading the lobby against the Senate’s proposal. The company has even launched a website dedicated to the petition drive.
“For us, the effect won't be that large,” explained David Pyott, chief executive at Allergan. “But I think it's discriminatory against women and sets a dangerous precedent for taxing health-care procedures.”
Medicis Pharmaceutical—Allergan’s competitor—is also opposing the tax. Medicis sells cosmetic products, like Dysport, Restylane, and Perlane.
“What's next? Are we going to tax people who color their hair?” commented Jonah Shacknai, CEO of Medicis.
Congressional officials say that the tax can reel in around $6 billion in the next decade.
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