Supreme Court to Weigh Religious Exemptions in Unemployment Tax Case

The U.S. Supreme Court will hear a case involving a Catholic diocese's bid for a religious exemption from Wisconsin's unemployment insurance tax. The potential ruling could impact states' tax programs and constitutional religious rights. The case centers around the Catholic Charities Bureau's appeal against a lower court decision.

The U.S. Supreme Court has agreed to hear a case concerning a religious exemption from Wisconsin's unemployment insurance tax. The case, brought by the Catholic Charities Bureau, could have broad implications for constitutional religious rights across the nation.

The Catholic Charities Bureau, part of the Diocese of Superior, seeks relief from a state ruling that subjects them to the unemployment tax due to their secular charitable operations. Wisconsin's top court previously ruled that the Bureau's activities were not primarily religious, making them ineligible for the exemption.

The Supreme Court's decision, expected by June, will address whether the state's criteria violate the U.S. Constitution's First Amendment by unfairly discriminating between religious entities. This case could lead to changes in how states handle religious exemptions from similar tax obligations.

(With inputs from agencies.)