WebHeader_Grove.png
Play Live Radio
Next Up:
0:00
0:00
Available On Air Stations
Get 2 limited-edition podcast mugs when you make a sustaining gift of $8 or more per month today!
0000017a-15d9-d736-a57f-17ff8d6a0001

Shaheen Bill Would Stop Drug Company Ad Tax Deductions

ShaheenCRopABO.png
Allegra Boverman for NHPR
/

 

New Hampshire Democratic Sen. Jeanne Shaheen has introduced a bill that would prohibit pharmaceutical companies from claiming tax deductions for consumer advertising expenses.

Under current law, drug manufacturers are allowed to deduct the cost of advertising expenses from federal taxes.  A news release from Shaheen's office Thursday said those advertising expenses have more than quadrupled over the past two decades, rising from $1.3 billion in 1997 to $6 billion in 2016.

Shaheen said the aggressive advertising also increases demand and allows drug companies to increase prices. She said taxpayers shouldn't be subsidizing the ads.

The bill is co-sponsored by fellow Democratic Sen. Maggie Hassan.

 

You make NHPR possible.

NHPR is nonprofit and independent. We rely on readers like you to support the local, national, and international coverage on this website. Your support makes this news available to everyone.

Give today. A monthly donation of $5 makes a real difference.