NAFCU continues to monitor the House Ways and Means Committee this week as members review the tax bill, the Tax Cuts and Jobs Act (H.R. 1). After two days of amendments, the credit union tax exemption remains untouched.
NAFCU staff has been on Capitol Hill, engaging with committee members during the mark-up process to tout the economic benefits credit unions provide their communities and nation as a whole. An independent tax study released by NAFCU earlier this year shows the cumulative benefit credit unions provide the greater economy totals $16 billion a year.
Monday, the committee passed Chairman Kevin Brady's, R-Texas, amendment to H.R. 1 on a party-line vote. Brady's amendment included changes to the earned income tax credit, carried interest, international tax rules and university endowments but maintained credit unions' tax status.
The committee took up several other amendments yesterday, but none affected credit unions.
The committee will likely have a long day considering amendments today before voting the marked-up bill out of committee, which is expected to happen on Thursday. The Senate is crafting its own version of the tax bill, which is expected to be released when the House Ways and Means Committee finishes its mark-up.
NAFCU is advocating five tenets for ensuring a positive environment for credit unions, and one of these is a fair playing field. NAFCU will continue to engage lawmakers as this bill moves through Congress to determine potential impact this legislation would have on credit unions – not only with respect to the tax exemption, but other tax code provisions as well.
Preserving credit unions’ tax exemption remains NAFCU’s top legislative priority.