CUs see victory in Iowa as provision to tax CUs fails

May 6, 2018

Credit unions in Iowa saw a major victory Saturday as the state passed a tax bill without a provision that would have taxed credit unions. CUNA President/CEO Jim Nussle joined the Iowa Credit Union League and nearly 1,000 credit union leaders at the state capitol in March to rally against the legislation that would have increased taxes on the state’s credit unions, while lowering them for banks.

“CUNA, CUNA Mutual Group and a host of partners from across the credit union system were proud to stand with the Iowa Credit Union League and Iowa credit union advocates in waging this battle from day one,” Nussle said. “While we expect these fights to continue as bankers push false narratives about not-for-profit, member-owned financial institutions, this is a moment to congratulate the excellent leadership of Pat Jury and the Iowa Credit Union League, and be proud of what our 360-degree advocacy offense and the CUNA/league system has accomplished.”

Nussle, who served as a representative for Iowa from 1991 to 2007, also wrote the Iowa State Senate in opposition to the bill.

CUNA estimates that credit union members in Iowa save more than $105 million each year in better interest rates and lower fees, a number that would have been heavily impacted by the bill, since approximately 85% of Iowa credit union loans are consumer loans.