Credit unions should leave no sacred cows in the field, and one of these that needs to be set free is the credit union tax exemption. Yes, it should be preserved but that depends upon the cost. The benefit should not be taken lightly or given up without a fight but it can't be a line in the sand either.

The tax-exempt status of credit unions could prove to be more of bane than a boon; it cannot stymie progress. Credit unions should never back away from what they need to succeed, such as risk-based capital, alternative capital, member business lending, open fields of membership, just because of the threat of taxation.

Consider this: according to FDIC data obtained by NAFCU, 3,605 banks did not pay any federal or state taxes in 2009. This included TARP-bloated Citibank and Bank of New York Mellon all the way down to $4 billion Nevada State Bank; they all received massive refunds! How's that for a tax-exemption?