Provision to tax Iowa credit unions fails
WASHINGTON, DC (May 7, 2018) — Iowa credit unions prevailed Saturday with the passing of legislation without a provision that would tax credit unions. In March the Iowa Credit Union League and nearly 1,000 credit union leaders stood alongside CUNA President/CEO Jim Nussle to rally against the bill that would have increased taxes on Iowa credit unions but lowered them for banks.
“CUNA, CUNA Mutual Group and a host of partners from across the credit union system were proud to stand with the Iowa Credit Union League and Iowa credit union advocates in waging this battle from day one,” Nussle said. “While we expect these fights to continue as bankers push false narratives about not-for-profit, member-owned financial institutions, this is a moment to congratulate the excellent leadership of Pat Jury and the Iowa Credit Union League, and be proud of what our 360-degree advocacy offense and the CUNA/league system has accomplished.”
CUNA President/CEO Jim Nussle, who served as a Congressman in Iowa from 1991 to 2007, wrote to the Iowa State Senate in February voicing strong opposition to the bill. As not-for-profit financial institutions, credit unions continue to defend their tax status.
Research from CUNA shows that Iowa credit union members will save more than an estimated $105 million each year in better interest rates and lower fees. The bill would adversely impact these rates and fees, which is noteworthy for Iowa credit unions as 85% of their loans are consumer loans.
Credit Union National Association (CUNA) is the only national association that advocates on behalf of all of America’s credit unions, which are owned by 135 million consumer members. CUNA, along with its network of affiliated state credit union leagues, delivers unwavering advocacy, continuous professional growth and operational confidence to protect the best interests of all credit unions. For more information about CUNA, visit cuna.org. To find your nearest credit union, visit YourMoneyFurther.com.