Magazine Article | January 2, 2019

How Biopharma & Medtech CFOs Are Viewing U.S. Tax Reform

Source: Life Science Leader

By Brad Trevenen

Biopharma and medtech companies are expecting mostly positive results from the new Tax Cuts and Jobs Act (TCJA), according to research by The Deloitte Center for Health Solutions and Forbes Insights. These results come from an anonymous survey of 60 CFOs — half from medtech and half from biopharma — who were asked how they were preparing for and responding to tax reform. However, despite the majority of respondents saying they will likely benefit from tax reform, nearly half are cautiously optimistic, expecting more changes to come.

The survey included 30 CFOs who work for companies with annual revenues over $10 billion and 30 who work for companies with annual revenues between $1 billion and $10 billion. Eighty percent of the respondents were from U.S.-based companies. (It should be noted that because the survey took place in the summer of 2018, plans and perceptions regarding tax reform may have changed.)