Credit union buying stadium naming rights
ICBA said that a credit union paying for NFL stadium naming rights is the latest example of how credit unions are violating the limits established by Congress to justify their federal tax exemption.
The Washington Commanders announced that Northwest Federal Credit Union inked a deal to pay for the naming rights, which reportedly cost $8 million per year.
In a national news release, ICBA President and CEO Rebeca Romero Rainey said modern credit unions exploit their tax exemption to subsidize multimillion-dollar executive pay, outsized marketing budgets, lavish headquarters, and an ongoing surge in acquisitions of taxpaying community banks.
ICBA has repeatedly called on Congress to investigate the credit union tax and regulatory advantages, including in a recent American Banker op-ed from Romero Rainey. In a recent letter to House Ways and Means Committee members, it called on lawmakers to review credit union tax exemptions.
ICBA polling released earlier this year showed Americans support reforms to policies that arbitrarily favor credit unions. According to the polling conducted by Morning Consult, 68% of adults said credit union customers should have the same Community Reinvestment Act protections that banks provide, while 54% said Congress should investigate whether the credit union tax exemption is still warranted.
Community bankers can use ICBA’s Be Heard grassroots action center to call on members of Congress to hold a hearing on credit union policy. Additional resources are available on the ICBA website.
Source: ICBA
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