The "Credit Union Thrival and Survival Expedition" is scheduled for July 21 through July 30, 2012.
In promoting the conference, Credit Union Edu Cruises advertises:
"Experience the most unique Credit Union Cruise/Conference ever offered! This is nothing like any credit union educational event that you have ever attended."
It appears that the educational sessions will be about 12 hours.
The registration fee for the conference is $1,750 per attendee. Suites range from $5,901 per person to $6953 per person (based on double occupancy).
This does not include airfare and other expenses to this tropical destination.
I don't believe Congress intended for the the credit union tax subsidy to be used for exotic cruises down the Amazon River.
To read more about this boondoggle cruise down the Amazon, click here.
I run a credit union that is over $180 million in assets and I agree with you that this is not an appropriate use of credit union resources. However, this is not a matter for congress to deal with and has nothing to do with our tax status. You guys (bankers) in the for profit sector have attended a number of conferences and conventions held in exotic locations too. Don't throw stones if you live in a glass house.
ReplyDeleteKeith, I do believe if a bank were to send its directors on a similar conference in an exotic location, the cost of the conference, airfare, and other related expenses would be deducted as an expense for the purposes of determining taxable income. So there are considerable tax advantages for banks to send ***PAID*** directors to conferences.
ReplyDeleteOn second thought, almost 1/3 of all banks are organized as Sub S corporations which pay no corporate income tax (you always seem to forget to mention this) so you may want to get off your soap box.
Maybe the ABA should focus more on finding ways to continue to promote improper foreclosures.
Banks organized as Subchapter S are taxed like partnerships. The owners pay the tax on the earnings of the bank.
ReplyDeleteHey Keith,
ReplyDeleteI love how being a tax exempt entity is twisted into a "subsidy" in your mind. Watch out everyone, religious organizations are "subsidized" too.
If some volunteer church deacons go to a conference in some exotic locale - should the tax exemption be taken away form all churches in the country?
I can just see the article now...Unpaid church leaders are jeopardizing the industry's "tax-subsidy" by spending a week in the Congo building wells to provide clean water to thousands. I dont think Congress intended the church tax subsidy to be used for exotic mission trips to Africa...
This guy is a total clown!
Yes, but Subchapter S banks only pay one tax. Regular tax-paying banks (C Corps) pay both corporate taxes and their owners pay taxes on dividends/profits.
ReplyDeleteIt is not the same.
Somehow digging wells in the Congo and sipping drinks on the Amazon doesn't seem analogous
ReplyDeleteJust returned home from a family vacation on a cruise in the Med. Ran into a group of bankers meeting on the ship. Hmmmmm. Must be okay for them!
ReplyDelete