Article: IRS Concedes Defeat In CU Lawsuit Over UBIT.(General News)

Byline: Analysis by Ed Roberts

WASHINGTON-State-chartered credit unions appear to have won an important victory in their decades-old fight with the Internal Revenue Service over the unrelated business income tax, when the IRS failed to appeal a May ruling in federal court striking down a UBIT assessment against Community First CU here.

The IRS fail to appeal by last week indicates the tax agency has conceded defeat in the case, which awarded Community First a $54,604 refund on UBIT paid on credit life and credit disability insurance and guaranteed asset protection products, according to Eric Richard, general counsel for CUNA, who participated in the case ...

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