Congress has scheduled a hearing on November 3rd to examine the tax-exempt status of credit unions. For more than 70 years, Congress has recognized the importance of credit unions and has granted them tax-exempt status. Credit unions have earned this important status because of their not-for-profit, member-owned, cooperative business efforts. I ask that you contact your representative and help in keeping this further taxation from taking place. My letter to Melissa Hart is located below.
Dear Representative Hart,
I am writing to ask you to oppose any efforts to eliminate the federal tax exemption for credit unions. A new tax on credit unions is an additional tax on 87 million working Americans.
The credit union tax exemption is tied to the structure of the institution. All credit unions–large or small–are structured in the exact same way. Credit unions are non-profit financial cooperatives owned by their members.
Studies have shown that consumers save $6.3 billion a year by using a credit union instead of a bank.
Bank customers benefit by having credit unions in the marketplace. Additional studies show bank customers saved at least $4.3 billion annually on the loan and savings business they did with banks due to the effects of credit union competition.
Credit unions continue to fulfill our original mission of offering low cost financial services to all members regardless of their income. It is good for consumers to have a choice among financial providers, and credit unions should remain a viable choice.
I oppose any effort that would eliminate the credit union tax exemption. Please let me know your views on this critical issue.