Credit union tax status untouched in Ways and Means reconciliation bill

May 13, 2025

Credit unions are not included in the text of the House Ways and Means Committee’s reconciliation bill released Monday afternoon, reflecting months of relentless advocacy in support of the credit union tax status. The committee will mark up the bill starting Tuesday afternoon, and there could potentially be amendments added throughout the process.

"America's Credit Unions thanks Chairman Jason Smith and the House Ways and Means Committee members for recognizing the value of protecting the credit union tax status in their proposed reconciliation bill,” said Jim Nussle, America’s Credit Unions president/CEO. “Together with leagues, credit unions, and industry partners, we have worked hard to show the impact credit unions have on their 142 million members and communities. We remain engaged with the committee as it considers amendments through the markup process to ensure no new tax is added on credit unions. Credit unions are here to strengthen Main Street, and we will keep our momentum."

America’s Credit Unions wrote in support of the bill to the Ways and Means Committee Tuesday night, thanking the committee for protecting the tax status, urging it to reject any amendments that would harm credit unions, and expressing support for provisions to allow:

  • Credit unions to serve as permissible account holders for the “Money for Growth and Advancement” accounts established in the bill to promote savings and investing; and
  • Car buyers to deduct interest paid on auto loans for vehicles assembled in the U.S. from their taxable income.

Registration is now open for America’s Credit Unions' webinar featuring Nussle and Chief Advocacy Officer Carrie Hunt leading a discussion on the latest developments, next steps, and more. The webinar is scheduled for Wednesday, starting at 1 p.m. Eastern.

America's Credit Unions has been preparing a unified advocacy strategy for tax policy discussions for the past year, recognizing that many of the 2017 Tax Cuts and Jobs Act provisions would expire in 2025. America's Credit Unions PAC, in partnership with leagues, identified credit union champions to support during the 2024 election cycle. Following the presidential election, the credit union industry came together to further develop its tax strategy.

Through the Don't Tax My Credit Union campaign, which began laying the groundwork with lawmakers during swearing-in events in January, America's Credit Unions, leagues, and credit unions have:

  • Met with every Republican member of the House Ways & Means Committee, including Chairman Jason Smith several times;
  • Met with the White House National Economic Council, Office of Management and Budget, and Treasury Department (5x);
  • Met with Senate Majority Leader John Thune, Speaker of the House Mike Johnson, House Majority Leader Steve Scalise, Senate Finance Committee Chairman Mike Crapo, House Financial Services Committee Chairman French Hill;
  • Generated more than 771,000 grassroots letters directly to lawmakers;
  • Contacted all 535 Congressional offices with key data on the credit union difference;
  • Placed several op-eds and LTEs, at the national and local level, to raise awareness of credit unions' impact on their members and communities;
  • Commissioned an independent economic study on the national and consumer benefits of the credit union tax status; and
  • Launched digital ad campaign targeting key tax writers and congressional leaders that has generated over 73 million ad impressions and engaged over 100,000 activists. 

Once the House Ways and Means Committee and other committees advance their portions of the budget reconciliation bill, the House Budget Committee will assemble the sections into a complete package that will then go to the House floor.

America's Credit Unions and the credit union industry will continue these unified advocacy efforts throughout the reconciliation process to ensure the Trump Administration and lawmakers recognize the value of and protect the credit union tax status in final legislation.

Advocates are encouraged to keep up the “Don’t Tax My Credit Union” momentum as the process unfolds, so officials know that including any language to change the credit union tax status would be a tax increase on more than 142 million Americans.

Resources are available on the Don’t Tax My Credit Union website, and on America’s Credit Unions website, which includes a social media toolkit, press kit, and more.