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Diane Publishing Books
Financial Institutions: Issues Regarding the Tax-Exempt Status of Credit Unions
Richard J. Hillman (au)
Unlike other depository institutions, credit unions (CU) are exempt from fed. corp. income taxes. Some observers have raised questions about whether tax exemption provides CU with an advantage over other depository institutions & whether the original basis for tax exemption is still valid. This report contains info. on: (1) the historical basis for the tax-exempt status of CU; (2) the arguments for & against taxation, including estimates of potential revenue from eliminating the exemption; (3) the extent to which CUs offer services distinct from those offered by banks of comparable size, & serve low- & moderate-income individuals; & (4) the extent to which CU are required to report info. on exec. compensation & assessments of their internal controls. Charts.
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