Taxpayers Union: End credit union tax exemption

Yet another conservative think tank is arguing that credit unions may no longer deserve their income tax exemption.

“Many credit unions across the country have shifted away from the original intent of their creation and now rival major financial institutions,” the National Taxpayers Union said, in a blog post on the group’s website last week. “As Congress explores options to extend the Tax Cuts and Jobs Act of 2017 and otherwise create a tax code with lower rates and a broader base, it should closely examine the tax status of large credit unions among many other policy options.”

NTU describes itself as the “Voice of America’s Taxpayers.” It pushes for permanent limits on taxes and spending.  The NTU is the second conservative think tank that recently recommended that Congress take a close look at the credit union tax exemption.

The Tax Foundation said in a report last month that credit unions no longer deserve the tax advantage. The NTU blog had many of the same arguments as the foundation and cited many of the same statistics in its post. Both reports mirror the positions of banking trade groups, such as the American Bankers Association and the Independent Community Bankers of America.

 

continue reading »