Thank you for sharing!

Your article was successfully shared with the contacts you provided.

MIAMI – In response to a column published April 10 on Herald.com, The Miami Herald’s online version, NAFCU President and CEO Fred Becker wrote in his own letter to the editor that readers should not take seriously the bankers’ `shock’ that credit unions do not pay corporate income taxes, leaving consumers to bear the brunt. Becker’s counter-letter, published April 20 on Herald.com, said, “[Florida Bankers Association CEO Alex] Snchez might want to reread the Consumer Federation of America study that found that the benefits that credit unions deliver to the public far exceed the costs of their tax exemption. Most telling, the study said that the value of the tax breaks enjoyed by banks is far greater, in absolute and relative terms, than the value of the credit-union tax exemption.” Becker points out that many banks have converted to Subchapter S Corporation status to avoid paying taxes. He cited FDIC data that showed banks earned record profits last year of $120.6 billion. Snchez’s column, entitled Guess who’s not paying taxes?, read, “Let me be clear: There are different kinds of credit unions. There are credit unions that still operate in the way Congress intended – they serve a limited and specific group of people.Then there are huge credit unions that have hundreds of millions of dollars in assets – some are over a billion dollars strong. To belong to these credit unions, essentially all you need is a pulse. These multimillion- and billion-dollar credit unions do not a pay a dime in state or federal corporate income or other taxes.”

Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.

Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
  • Exclusive discounts on ALM and CU Times events.
  • Access to other award-winning ALM websites including Law.com and GlobeSt.com.

Already have an account?


Credit Union Times

Join Credit Union Times

Don’t miss crucial strategic and tactical information necessary to run your institution and better serve your members. Join Credit Union Times now!

  • Free unlimited access to Credit Union Times' trusted and independent team of experts for extensive industry news, conference coverage, people features, statistical analysis, and regulation and technology updates.
  • Exclusive discounts on ALM and Credit Union Times events.
  • Access to other award-winning ALM websites including TreasuryandRisk.com and Law.com.

Already have an account? Sign In Now
Join Credit Union Times
Live Chat

Copyright © 2022 ALM Media Properties, LLC. All Rights Reserved.