There were two industries singled out for taxation to support the ACA: medical device manufacturers and tanning bed operations.
The IRS published its final rule determining that tanning beds located within larger health facilities are exempt from the tax. If you own and operate a stand-alone tanning salon, well tough luck and hope you fare well against competitors with lower costs.
It was always politically easy to go after the fake bake providers, but medical devices are an entirely different issue. While congress may not be able to draw the distinction between light bulb output and an artificial hip, voters sure can.
Several Senators, most who voted for the ACA, sounded the alarm on the impact of the medical device tax in the spring. It seems that they only learned this year that the tax is on REVENUE and not profit of medical device manufacturers. Though no legislation has moved in this session of congress, I certainly expect it in the next. The prospect of these industries moving overseas (“We have some lovely real estate available in Ireland just down the block from Apple) is not what any politician wants to defend going into next year’s election cycle (1/3 of the Senate and all House seats). Stay tuned.