As thousands oppose IRS proposal and lawmakers weigh in, more action still needed

Updated 10.15.21

Nearly 65,000 Kansas and Missouri credit union leaders and members have already shared concerns with members of Congress about proposed IRS reporting provisions that would require financial institutions – including credit unions- to report additional account holder information to the government. This proposal would violate consumers’ privacy, pose significant data security risks, and increase regulatory burden.

Lawmakers from our two states have heard your message and are weighing in. Congresswoman Sharice Davids (D-KS District 3) submitted a letter to U.S. House Ways and Means Committee Chairman Richard Neal urging that the provisions be kept out of the budget reconciliation bill, and continues to express concerns as the measure keeps moving forward.
“…Many hardworking Kansans have shared their concerns about this issue with me,” wrote Davids.  “They include families, consumers, banks, credit unions and more.  These issues include uncertainty about meeting the burden of greater reporting requirements, protecting consumer privacy, and ensuring data security.”

Senator Jerry Moran (R-KS) has cosponsored a related bill called the Tax Gap Reform and Internal Revenue Service (IRS) Enforcement Act.
In addition, many Missouri and Kansas lawmakers signed a “Dear Colleague” letter circulated by U.S. Representative Tom Emmer, urging leadership to not include it in the reconciliation bill.  The 140 signers included U.S. Reps. Ann Wagner (R-MO District 2), Blaine Luetkemeyer (R-MO District 3), Tracey Mann (R-KS District 1), Vicky Hartzler (R-MO District 4), Jason Smith (R-MO District 8), and Ron Estes (R-KS District 4). A second Congressional letter to Treasury Secretary Janet Yellen is now in the works.

While the IRS proposal was not included in the budget reconciliation bill passed by the House Ways and Means Committee, Speaker Nancy Pelosi indicated this week she plans to include it in the final House bill.  This means more action is needed. Credit union leaders and members are urged to continue their efforts in sharing concerns with members of Congress.  Use the Grassroots Action Center to weigh in on the IRS reporting proposal.

Contact Amy McLard, 314.542.1370, with any questions.