November 08, 2017

NAFCU engaged as House committee prepares to clear tax reform

The House Ways and Means Committee today is expected to favorably report out the Republican tax reform bill, the Tax Cuts and Jobs Act (H.R. 1). NAFCU has been closely engaged with committee members throughout this process to ensure that the credit union tax exemption remains untouched.

The committee is expected to adopt a second manager's amendment prior to reporting the bill to the full House, which will bring the bill in line with the budget resolution. Senate Republicans are expected to introduce their own version of a tax bill later today. NAFCU continues to work with lawmakers in the both the House and Senate reiterating 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.

Throughout this week, the House Ways and Means Committee considered a number of amendments to the bill, but none that directly impacted the credit union tax status.

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.