CUNA 'Tax Day' ads define consumer benefits of CU tax status
April 14, 2015
WASHINGTON (4/15/15)--CUNA has greeted Tax Day 2015 by placing several ads today in Washington, D.C.-based publications, reminding both policymakers and consumers of the benefits Americans derive from the credit union tax status.
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"These ads are setting the record straight that 102 million credit union members paid a total of $1.2 trillion in taxes in 2014; there's no need for a new tax on these middle-class families," said Jim Nussle, president/CEO of CUNA. "There's a big difference between banks and credit unions. Our tax status is due to our not-for-profit business model. Credit unions aren't paying profits into the pockets of wealthy investors like the big banks do; credit unions are investing their members' money back into their communities."
The ads also serve to put banks on notice--those that would attack the credit union status--that such attacks are quite simply anti-consumer.
"The banks have been on a tireless pursuit to tax not-for profit credit union," said CUNA Chief Political Officer Richard Gose discussing the ads with News Now. "A tax on credit unions is a tax on 102 million working middle-class families."
The ad points out that those 102 million credit union members already paid a total of $1.2 trillion in taxes in 2014, based on state and local government finance data from the U.S. Census Bureau. The ads further note:
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"Credit unions are not-for-profit financial cooperatives owned by their members. Credit unions invest members' money back in our communities to help middle-class families buy homes, pay for college, deal with unexpected emergencies and start small businesses."
Credit unions' tax status also means that credit unions can provide returns to their members with lower interest rates on loans as well as better rates on savings and year-end dividends. Those benefits added up to $8.5 billion in 2013, according to CUNA research.
CUNA estimates this number is nearly 10 times the amount that could be delivered by taxing credit unions.
Unlike banks, credit unions don't exist to make profits for Wall Street investors, the ads say.
The ads run today in Politico, Roll Call and The Hill.
CUNA has also set up DontTaxMyCU.org with resources for protecting credit unions' tax status.