WASHINGTON—As the House Ways and Means Committee proceeds with its portion of the budget reconciliation process, both credit union trade groups are seeking to have language excluded that would enact a reporting requirement for all financial institutions to report all annual account inflow and outflow of $600 or more to the IRS.
The language is currently included in the fiscal year 2022 Budget Resolution.
CUNA is asking credit unions to work together to have the language removed.
"We strongly urge you to not include any language enacting this provision during your markup," wrote NAFCU Vice President of Legislative Affairs Brad Thaler. "We believe that requiring credit unions and other financial institutions to report on gross inflows and outflows for all accounts above $600 annually stands to pose more costs and burdens on community institutions with uncertain returns."
NAFCU’s full letter can be read here.
CUNA Calls on CUs
CUNA, meanwhile, has issued an action alert urging credit unions to share their concerns about the proposal.
“This proposal would put credit unions and banks in the position of perpetrating an unprecedented invasion of privacy, in addition to creating a significant new compliance burden for credit unions,” CUNA Chief Advocacy Officer Ryan Donovan said. “We encourage credit unions to reach out to your staff, members, and other stakeholders, as this directly impacts their day-to-day activities and privacy. We need to tell members of Congress to oppose this provision.”