Tax bill will save health care companies — but not patients — billions

Brooke BainumNews

Helena – Health care companies will see tens of billions of dollars added to their bottom line this year because of the tax bill, but “patients should not expect the health industry’s windfall to lead to lower premiums, reduced prices or major industry changes.”

In addition, while corporations have been using the majority of their money from the tax law – supported by all GOP Senate candidates in Montana – to buy their own shares and make the richest Americans even richer, tens of thousands of hardworking Montanans will see increased taxes.

ICYMI: Axios: Tax cuts will save health care companies billions – but not patients
By Bob Herman and Caitlin Owens
March 5, 2018

Key Points:

  • “Health care companies will add tens of billions of dollars to their bottom lines this year thanks to savings from the Republican tax cut package. But only a fraction of that money will benefit patients.”
  • “…patients should not expect the health industry’s windfall to lead to lower premiums, reduced prices or major industry changes.”
  • “Most of the money is going toward share buybacks, dividends, acquisitions and paying down debt — with just a sliver for one-time employee bonuses, research and internal investments.”
  • “…a majority of UnitedHealth’s windfall is going to Wall Street and executives.”
  • “Several corporations, including Johnson & Johnson and Abbott Laboratories, also said they’ll use their billions in tax savings to pay down debt…”

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