Big Pharma’s twist: Billions in opioid settlements convert into huge tax breaks
While too many Americans struggle with skyrocketing prescription drug costs, so much so that a $10 insurance co-payment may be lethally dissuasive, Big Pharma firms are seeking billions of dollars in taxpayer-funded benefits on giant settlements they made for their role in the opioid abuse and drug overdose crisis.
Johnson & Johnson and the “big three” distributors of prescription drugs — McKesson, AmerisourceBergen and Cardinal Health — have disclosed that they will take tax deductions on sums they will fork over to states, local governments, Indian tribes, and others that sued them over damages that they say occurred after they flooded the country with powerful painkillers, the Washington Post reported.
The four companies have agreed to pay between $5 billion and $8 billion each to reimburse communities for the costs they suffered in dealing with millions of deaths, addictions, and debilitations caused by opioids, their synthetic versions, and illicit drugs they opened the door to.