WASHINGTON—America’s Credit Unions is calling the Independent Community Bankers of America’s (ICBA) latest attack on the CU tax status “weak.”
As CUToday.info reported, the ICBA’s latest policy calls on lawmakers to end the federal tax exemption for credit unions with $1 billion or more in assets, or to establish tax parity between credit unions and tax-paying community banks.
“It seems like every day the credit union industry faces a new attack from the bank lobby, but this time, they’ve really shown their cards. Shifting their target away from all credit unions to now just the largest in the industry, shows they know their message is weak with lawmakers and consumers alike,” stated America's Credit Unions President/CEO Jim Nussle. “This isn’t about the millions of Americans who will suffer without access to a credit union, this is about credit union competition chipping away at the banks’ own bottom lines.
“For decades, banks have taken advantage of taxpayers for their own profit: they enjoy Subchapter S subsidies, make risky decisions that consequentially rip away people's American dreams, abandon communities, and get bailed out by the government when they overstep,” continued Nussle. “Over 140 million American consumers have chosen credit unions as their financial partner because the industry has proven it is safe, and we care about people, and we will step up – in good times and bad. Credit unions have remained a vital part of the financial services marketplace for a reason.”