Friday, October 4, 2013

Survey: Majority of Iowans Favor Eliminating CU Tax Exemption

A survey of 500 Iowans ranging in ages from 18 to over 65 by Victory Enterprises found that a majority of Iowans (58 percent) were not aware that large credit unions with billions in assets are exempt from paying income taxes on their profits.

Upon learning about the credit union exemption, the majority of survey respondents (53 percent) were in favor of eliminating it. Another 23 percent were not sure what to do about it, and only 20 percent supported keeping it.

The impact of these exemptions on personal income taxes was also a concern among the Iowans surveyed. The majority of the survey respondents (55 percent) believed their personal income taxes were higher when other potential taxpayers enjoy significant tax exemptions or loopholes. Only 26 percent of survey participants disagreed with this position.

Approximately 73 percent of the survey respondents had their primary checking or savings account at a bank, while 18 percent had their primary account at a credit union.

Among individuals who identified a credit union as their primary depository institution, there was some interesting findings.
  • 67.8 percent of the people believe their personal income taxes are higher when other taxpayers enjoy significant tax exemptions or loopholes.
  • 55.6 percent of respondents did not know that large credit unions did not pay income taxes on their profits.
  • 46 percent supported eliminating the credit union tax exemption versus 33.3 percent that supported keeping the tax exemption.
The survey was sponsored by the Iowa Bankers Association.

The margin of error for the survey was 4.38 percent.
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5 comments:

  1. AnonymousOctober 4, 2013 at 1:40 PM

    And why do you think this is news? A survey sponsored by a banking trade association comes up with anti-credit union results. What a shock. More of the same garbage from your industry.

    ReplyDelete
    Replies
    1. AnonymousOctober 5, 2013 at 8:02 AM

      Not as bad as 96 million members, serving the under served, we don't fee like banks, we didn't cause the meltdown (don't tell telesis, wescorp, etc), the preposterous claims by NAFCU on the value of tax exemption to the us economy, well you get the point.

      Delete
  2. Anthony DemangoneOctober 5, 2013 at 8:23 AM

    I'd have a few questions for those 500 myself, Keith.

    1. Should banks behave more like credit unions or should credit unions behave more like banks?
    2. Which is better for the American consumer, a bank or a credit union?

    Would you guys add those two to the next survey? I'm happy to help you work on the exact wording.

    - Anthony Demangone, EVP/COO "THE" National Association of Federal Credit Unions

    ReplyDelete
    Replies
    1. AnonymousOctober 5, 2013 at 11:52 AM

      There is no difference, ex Taft banks.
      Hence, as you try to ignore, there is NO justification for the tax free status of large credit unions...except to protect trade associations feeding at the trough.

      Delete
    2. AnonymousOctober 5, 2013 at 9:01 PM

      There's no difference except for the tbtf banks and the tiny credit unions.

      Delete