WASHINGTON--As the budget reconciliation package heads toward a potential House vote later this week, America’s Credit Unions is actively engaging with House members and staff to emphasize the importance of preserving the credit union tax exemption and its vital role in supporting members and communities.
The House Rules Committee has scheduled an early morning meeting on the bill starting Wednesday at 1 a.m. ET, after the House Budget Committee advanced the bill – with no mention of the credit union tax status - late Sunday night.
America’s Credit Unions’ said its outreach to the Capitol Hill Monday highlighted how a majority of Americans support the credit union tax status, more than one-third of Americans are credit union members, and credit unions continue to provide safe, affordable financial services to those left behind by for-profit banks.
“In the 91 years since the Federal Credit Union Act became law, credit unions have consistently held less than 10% share of the banking market by assets while serving 142 million Americans—over 1/3 of the U.S. population. In the past 30-plus years, the largest banks have seen their share of assets rise from 41% to 75%,” the message reads.
The email graphic used data demonstrating how a small number of big banks dominate the depository industry, with the banking industry holding 91.2% of depository institution assets. The message also links to America’s Credit Unions’ resources on the importance of the credit union tax status, with information on:
- How credit unions operate;
- The numerous negative consequences that would come with changing the tax status;
- The impact credit unions have on consumers, $38 billion in member and non-member benefits in 2024; and
- Details on the more than $26 billion in federal taxes and $15 billion in state and local taxes credit unions paid in 2024.