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New Health Care Plan Includes a Tax on Cosmetic Procedures
Posted: November 20, 2009
The new health care plan introduced to the Senate includes a proposal to tax some cosmetic procedures in an effort to pay for the plan.
They call it the "Botax." The White House and Senate Democrats have turned to a proposal to tax breast implants, tummy tucks, wrinkle-smoothing injections and other procedures as they search for ways to pay for costly health care overhaul plans.
Vanity was an easy target as lawmakers scraped for cash for the nearly $1 trillion plan to expand health care to millions of Americans who lack insurance. But it's no joke to the drug makers and people who perform the cosmetic nips and tucks. And they're fighting back.
Skin-smoothing Botox injections could be hard-hit. There were some 4.7 million last year and an average cost per visit of about $400, some including several injections. "It is a random hit on an easy target that is only punitive and not corrective," said Caroline Van Hove, a spokeswoman for Allergan Inc., the maker of Botox Cosmetic. "The bottom line is that taxing cosmetic procedures is unnecessarily punitive on people who have merely decided to enhance their appearance."
At issue is a proposal in the 10-year, nearly $1 trillion health care draft unveiled by Senate Majority Leader Harry Reid, D-Nev., that would slap a 5% excise tax on elective cosmetic surgeries and procedures. The plan, projected to raise $6 billion, wouldn't apply to surgery to fix a deformity or injury, but would include procedures such as face lifts, liposuction, cosmetic implants or teeth-whitening.