We have launched a National Action Alert on the Credit Union Tax Status. We strongly urge you to mobilize your credit unions’ employees, volunteers and members to ensure success in preserving the credit union tax exemption.
CUNA’s best legislative intelligence confirms what the press increasingly has been reporting: both Houses of Congress are considering possible legislation to reform the U.S. tax code.
It appears lawmakers are considering a “blank piece of paper” approach—under that scenario, all exemptions would be removed from the tax code and Congress would start from scratch to write a new tax code. If Congress goes down that road, all tax exemptions, including the credit union tax status, would be gone and our job would be to proactively advocate for its inclusion in the new tax code. It is also important to note that a consequence of this approach is that the credit union tax status must not only compete against banker opposition, but with the more than 400 other industries that enjoy special status under the current tax code.
If we are to preserve our tax status, we must ensure our voice is heard loud and clear on Capitol Hill, and that there is no doubt in Congress that a tax on credit unions is a tax on 96 million Americans, and therefore unthinkable.