Thugs are taxing credit unions: got this a minute ago from my credit union :

[lindysalsagal]

At (credit union name) Financial, we’ve always been dedicated to supporting your financial well-being by offering great rates and lower fees and investing in our communities. One of the key reasons we can do this is because of our tax-exempt status, which allows us to pass on these benefits to you. However, this status is periodically challenged, and right now, we’re facing one of those critical moments.

Federal lawmakers are currently working on tax reforms, and that could lead to a new tax on credit unions – and the members we serve. It’s essential that we act now to make sure our local lawmakers understand how eliminating the credit union’s federal income tax status would negatively impact the very people they were elected to serve.

We need your support more than ever

I invite you to join us in the Don’t Tax My Credit Union movement by clicking the button below to send a message to your U.S. Representative and Senators to tell them to oppose any effort to add a tax on credit unions. By protecting the tax-exempt status that allows credit unions like ours to serve you, we can continue providing the valuable services that save you money and help strengthen our community. Your voice truly matters, and with your support, we can ensure (credit union name) Financial remains a resource that benefits you and others for many years to come.

[Timeflyer]

1. Copied from "National Association of Federally-Insured Credit Unions" website.

See last paragraph---

"Background
Section 122 of the Federal Credit Union Act (12 U.S.C. § 1768) states that credit unions are exempt from all taxes except for local real property and personal property taxes (see NCUA Letter of Exemption):

"The Federal credit unions organized hereunder, their property, their franchises, capital, reserves, surpluses, and other funds, and their income shall be exempt from all taxation now or hereafter imposed by the United States or by any State, Territorial, or local taxing authority; except that any real property and any tangible personal property of such Federal credit unions shall be subject to Federal, State, Territorial, and local taxation to the same extent as other similar property is taxed.

"While the Federal Credit Union Act does not specifically explain why credit unions receive a tax exemption, various government actions and documents have provided commentary on the subject. A 1979 Internal Revenue Service (IRS) document explains that IRC 501(c)(14) exempts credit unions that are operating on a not-for-profit basis, organized without capital stock, and operating for mutual purposes. Furthermore, federally chartered credit unions are considered to be instrumentalities of the United States and are exempt under 501(c)(1). The IRS document suggests that credit unions merit a tax exemption as they have certain features that clearly distinguish them from other financial institutions and have not deviated from their original purpose. For example, credit unions still have a common bond among members and serve as a source of credit for low- and moderate-income people.

"In 1998, as part of the findings of the Credit Union Membership Access Act, Congress found that:

"Credit unions, unlike many other participants in the financial services market, are exempt from Federal and most State taxes because they are member owned, democratically operated, not for profit organizations, generally managed by a volunteer Board of Directors, and because they have the specified mission of meeting the credit and savings needs of consumers, especially persons of modest means.

"Still, credit unions do pay many taxes and fees, among them payroll and property taxes. It is also important to note that share dividends paid to credit union members are taxed at the membership level. Critics argue that credit unions today are no different than banks. However, the defining characteristics of a credit union, no matter what the size, remain the same today as they did when the Federal Credit Union Act became law in 1934: credit unions are not-for-profit cooperatives that serve defined fields of membership, generally have volunteer boards and cannot issue capital stock. Credit unions are restricted in where they can invest their members' deposits and are subject to stringent capital requirements. A credit union's shareholders are its members and each member has one vote, regardless of the amount on deposit. Credit unions are fundamentally different than banks, and their tax exemption is a reflection of that indisputable fact."

[NameAlreadyTaken]

2. Where's the button to click?

[erronis]

10. see reply 4.

[3Hotdogs]

3. Credit unions - does that mean that interest earned is tax presently free?

[ShazamIam]

8. 3Hotdogs, The second sentence of the last paragraph says (paraphrased) that individuals are taxed at the membership

level.

About your name, I remember a time when for a few years, I couldn't eat one hotdog, I always had to have three, I had to give it up at a certain age where weight gain is too easy.

[ananda]

18. No

...

[erronis]

4. Need to supply some links to your OP, please.

The appeal comes from: https://www.donttaxmycreditunion.org/

The Americas Credit Unions (with a link) is: https://www.americascreditunions.org/

Protecting the credit union difference.
Don't tax my credit union

[happy feet]

5. Thanks for this!

I didn't know. Done.

[wendyb-NC]

6. I just sent email to state and federal reps

[dalton99a]

7. Spread this far and wide

[not fooled]

9. Krasnov's corrupt banker buddies

pushing to tax credit unions?

[bluesbassman]

17. Sure, eliminate the competition and consolidate power.

It's the way all fascist regimes operate.

[Cherrycheeks]

11. I'm sick of these..

&%$#@$%&6#@!!!!!😡

[JT45242]

12. how do you pay for tax cuts to mega banks that donated to Mango Mussolini and Apartheid Clyde -- tax the competition

This is straight out of the screw the consumer to move wealth upward toward megadonors playbook.

Goldman-sachs, capital one, etc. have spent wisely in electing these clowns.

If only credit unions had billions of dollars to buy a political party -- oh yeah, they can't.

[dchill]

13. If they can't beat you, they make you join them.

[Wiz Imp]

14. Misleading title

They are not taxing credit unions, they are apparently proposing to tax credit unions. However, nothing is presented indicating any proposed legislation that would do so.

[Comrade Citizen]

15. US Credit Unions are a creation of Texas Democrats

Senator Morris Sheppard and Congressman Wright Patman are considered the fathers of the Federal Credit Union Act of 1934. Sheppard was the act's author. The bill had stalled in the United States House of Representatives, considerably shortening the time the United States Senate had to pass the final version. Rather than sending the bill to a conference committee, Sheppard asked the Senate to pass the bill unanimously without reading the bill or the amendments. The bill passed the Senate unanimously.[10] The Morris Sheppard Credit Union in Texarkana, Texas carries the Senator's name, while the institution's local credit union chapter is named after Congressman Patman.

[Hekate]

16. KnR credit unions

[Exp]

19. Done! I have a Credit Union account! nt