WASHINGTON--The Senate Banking Subcommittee on Economic Policy’s hearing on tax reform was the second hearing to address taxes this week and the second in which the credit union tax status was not mentioned, America's Credit Unions reported.
America’s Credit Unions submitted comments for both hearings that explained how the credit union tax status represents one of the best investments the federal government makes, ACU noted.
“The tax-exempt status afforded to credit unions allowed them to serve areas and people that banks would not serve. By every account, this legislation has been an unparalleled success,” America’s Credit Unions President/CEO Jim Nussle wrote to both committees, adding that the credit union tax status brings $35 billion in annual financial benefits to members and non-members, and estimated 1,300% rate return on the so-called “cost” of the tax status.
Several provisions of the Tax Cuts and Jobs Act are scheduled to expire in 2025.