WASHINGTON–With the having narrowly passed the sweeping reconciliation bill in the wake of passage by the Senate, credit union trade groups have issued statements thanking Congress for not including any language related to credit unions.
Specifically, credit unions had been concerned that the CU tax exemption might be sacrificed as a means of paying for the legislation’s tax cutting components.

“Thank you to the U.S. Senate and House of Representatives for recognizing the immense value credit unions provide to communities all across the country by securing the credit union tax status,” Jim Nussle, president and CEO of America’s Credit Unions, said in a statement. “This is a major victory for the 142 million Americans who rely on credit unions, small businesses, and the credit union industry as this bill allows these community-first institutions to continue serving Main Street America. We thank our credit union champions in Congress, as well as the dedication of our state leagues and credit union members who contributed messages, letters, opinion pieces, and most importantly their time, to emphasize the credit union difference. America’s Credit Unions will continue to advocate for stronger American communities and financial resources that help consumers reach their American Dream.”
‘Significant Win’
Added Anthony Hernandez, president and CEO of the Defense Credit Union Council, in a statement, “This is a significant win for our industry and the millions of Americans we serve. We commend both the House and Senate for recognizing the importance of preserving the tax status of credit unions. This decision reaffirms the essential role credit unions serve as part of America’s financial ecosystem—especially for our armed forces, their families, and underserved or vulnerable communities.”

DCUC had stated throughout the process of passing the bill that taxing credit unions would be a direct hit on the financial readiness of the nation’s military.
“Nowhere in this final bill is there any reference to ‘credit unions’ or any provision that affects our tax status,” said Jason Stverak, DCUC’s chief advocacy officer, in a statement. “We urged lawmakers to stand strong against misguided proposals that would have hurt military families, and we’re incredibly grateful that our collective voice was heard.”
Stverak noted DCUC has over the past year sent more than 30 letters to Congress defending the CU tax exemption.