Congressional policymakers are eyeing unconventional sources of revenue to fund their infrastructure plans. One proposal under consideration would require credit unions and other financial institutions to report to the Internal Revenue Service how much money has gone into and out of accounts holding more than $600.
Arkansas, Oklahoma, and Texas: We need YOUR help to keep this from becoming law.
In addition to representing a significant new compliance burden for credit unions, this proposal would put credit unions in the position of perpetrating an unprecedented invasion of privacy. While financial institutions report taxable activity on the IRS Form 1099-INT, this proposal would have depositories reporting nontaxable activity, including the gross amount flowing into and out of accounts. They plan to use this information to try to identify unreported taxable income.
Cornerstone League has significant concerns regarding the government’s ability to keep this information safe, especially considering that some of the systems the IRS uses for data storage are more than three decades old.
Tell your U.S. representatives to oppose this provision.
Please share this message with your staff, your credit union members, and others because this issue directly impacts their day-to-day activities and privacy. You can access talking points and other tools via the Member Activation Program (MAP) community.
Please take action now.
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