WASHINGTON—With the first tax reform hearing of the 119th Congress scheduled Tuesday, America’s Credit Unions sent a letter to House Ways and Means Committee leaders reinforcing the many benefits the credit union tax status brings to consumers and communities.
America’s Credit Unions President/CEO Jim Nussle emphasized how credit unions meet the needs of Main Street through their unique structure, mission, and community focus.
Tuesday’s hearing is the first in an expected series of hearings this year, with several provisions of the Tax Cuts and Jobs Act set to expire at the end of 2025.
“Any effort to change the tax status of credit unions as part of the tax reforms related to extending the expiring provisions of the TCJA would be Congress doubling down for big banks at the expense of a tax increase on 140 million Americans who are credit union members,” Nussle wrote.
He also added that credit unions:
- Delivered an estimated total of $35 billion in financial benefits in 2024 for American consumers
- Pay billions in taxes to federal, state and local governments via payroll and various excise taxes, as well as generate tax revenue as employers
- Have the right to operate in ways that will benefit members and communities, including marketing to their field of membership and participating in community bank sales transactions