Nevada Lawmaker Gives Solace on Taxing CUs

LAS VEGAS – Nevada credit unions got some solace from a top state lawmaker that taxing CUs is not a priority for lawmakers during the next session of the Nevada Legislature in February. Though steering clear of a firm commitment, Assembly Majority Leader Barbara Buckley (D- Las Vegas) said imposing a tax on CUs as occurred on banks in the last session in the form of a per branch/payroll tax is something “I don’t see having many legs.” Nevada banks objected vigorously to the tax but tried and failed to include CUs, too. On that score the lawyer and head of a Las Vegas legal aid operation said bankers engaged in a bit of “buyers remorse” for adopting a strategy which created a tax overlay they now seek to overturn. She said the bankers did a “whoops, I changed my mind” strategy and that kind of tactic does not sit well with her. Buckley spoke to a closing business session of the California/Nevada Credit Union Leagues convention and in her remarks also said the legislature expects to move vigorously against payday lenders. Complaints, she said, are rising fast from borrowers following what she said have been outrageous abuses. She said there have been instances of a 900% rate on a loan. That turns a $200-$300 loan at a payday shop into a $1,600 burden for consumers.