Medical device manufacturers can breathe a temporary sigh of relief, as the Senate voted in favor of putting a two-year hold on the medical device tax. The 65-33 vote took place on Friday and was part of a $1.8 trillion package of spending bills and tax breaks, which also included putting the controversial Cadillac tax on pricey healthcare plans on hold.

Industry trade associations AdvaMed and MDMA celebrated the accomplishment. “America’s medical technology companies, including our nearly 2 million employees and the countless patients we serve, appreciate the broad bipartisan effort to suspend the medical device tax,” said AdvaMed Board Chairman Vincent A. Forlenza, chairman, CEO and president of Becton Dickinson in a press release. “This critical relief would not be possible without the tireless efforts by a large group of champions in Congress as well as among the patient, provider and research communities. Congress and the administration have demonstrated that they recognize the negative effects of this tax. We urge policymakers to continue their work to eliminate the device tax and address other factors that are threatening the health care innovation ecosystem.”

MDMA Chairman Scott Huennekens stated, “MDMA thanks the tireless, bipartisan leadership in Congress that achieved this important milestone on the road towards permanently repealing the medical device tax.” Huennekens, President & CEO of Verb Surgical added, “MDMA has fought against this misguided policy since it was first proposed in 2009, and while suspension of the medical device tax is a positive step, we will remain focused on repealing a policy that only serves to punish a vital sector of America’s innovation ecosystem.”