The Advertising Coalition and the AAAA D.C. office report that elimination of the tax deduction for marketing costs for drug and related businesses is still among the revenue options to pay for healthcare reform (HCR).
Rx Marketing Is In Danger Of Losing Its Status As a Deductible Business Expense
It Is Extremely Important for You to Read Each of the Following Documents:
- Letter from chair and ranking republic member of the Senate Finance Committee, expressing strong opposition to the proposal
- “Talking Points” and draft email letters: Constituents are also urged to add specific information about their agency, and the number of people employed, and the importance of the information to doctors and patients provided by their companies
- Lists of Legislative Directors: the key staff in the Senate Finance and the House Ways and Means committees, including names, phone, fax and email addresses:
Senate Finance Committees
House Ways and Means Committes
Here are 3 papers written by the Washington Legal Foundation concerning the Constitution and Prescription Drug Advertising:
The Advertising Coalition and the AAAA DC office report that elimination of the tax deduction for marketing costs for drug and related businesses is still among the revenue options to pay for healthcare reform (HCR). President Obama and Senator Baucus, head of the Finance Committee, continue to stress that the HCR Bill will be “revenue neutral”, meaning that the cost estimate of the final plan will be matched with revenue measures.
Given that HCR will be “scored” at over $1 trillion, the Ad Coalition says every option will be given serious consideration, including the elimination of the
deduction for drug marketing costs. Marketing experts estimate that marketing plans would quickly be reduced by over 35%, the approximate average tax rate for drug and related businesses.
Capitol Hill HCR leaders are currently focused on the various proposals for HCR, but are expected to turn to revenue options over the next several weeks. Leaders are aiming to have a bill on the President”s desk by August 1.
Jim Davidson, head of the Advertising Coalition, says that now is the time for constituents to begin to communicate by phone, fax or email to key staff members of the House Ways and Means and Senate Finance committees. Agencies have been urged to focus first on the Senators and House members from all states where they have offices, including New York Senator Schumer and Representative Rangel, and New Jersey Senator Menendez. If needed, the Ad Coaliton will ask for additional calls over the month of August.
If you have any questions, please contact:
Jordan Hass at the Advertising Coalition (JHaas@polsinelli.com; 202-638-1101)
Adonis Hoffman at the AAAA DC office (firstname.lastname@example.org; 202-331 7345)
John Kamp (email@example.com; 703 801 4582)