WASHINGTON--The House passed its budget resolution 216-214 Thursday, following Senate passage last week.
The budget resolution is a framework for the federal budget, setting spending and revenue targets, and House passage means Congress can now officially work on its budget reconciliation legislation, America's Credit Unions noted.
The House Ways and Means Committee is expected to unveil its proposed part of the legislation – dealing with tax policy – in early May. House leadership has indicated a desire to pass the reconciliation package out of the chamber by Memorial Day, ACU said.
Republican members are reportedly aiming to extend the 2017 Tax Cuts and Jobs Act cuts, enact additional cuts, reduce spending, and raise the debt ceiling as part of the reconciliation effort, ACU said.
"As President Trump and Congress begin drafting the contents of a budget package in earnest, America's Credit Unions will continue to advocate for priorities that strengthen the financial well-being and create opportunities for working Americans and small businesses. One of the best ways to do that: Preserving the credit union industry's federal tax status,” said Jim Nussle, America's Credit Unions president/CEO. “The economic benefits of the tax status are clear, with nearly $27.5 billion in direct benefits and $38.3 billion in total benefits to American families. Removing it would be a significant hit to our economy, losing $33 billion in income tax revenue, reducing GDP by $266 billion, and costing 822,000 jobs over 10 years. Credit unions are committed to investing in the 142 million people and communities they serve and we will make sure President Trump and lawmakers see how the industry supports their economic goals."
With Congress scheduled to be on recess for the next two weeks, ACU is urging credit unions to continue contacting members through the Don’t Tax My Credit Union website, engage with members in home districts, and use local media channels to tell members, “Don’t Tax My Credit Union.”
The Defense Credit Union Council noted the difficult budget work now starts."This is another step in the budget/reconciliation process, but the hard work now begins as Congress drafts tax and spending proposals," said Jason Stverak, DCUC chief advocacy officer. "The uncertainty around the credit union tax status is why DCUC for the past year has been vocal and aggressive in defending the credit union tax status. We plan to continue our aggressive pro credit union advocacy to ensure the tax status of all credit unions is protected."