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Supreme Court to debate if states may tax Catholic Charities and religiously affiliated groups

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The Supreme Court will hear arguments Monday over whether states may require religiously affiliated groups like Catholic Charities to pay unemployment taxes in a case critics say could put more than 1 million US workers at risk of losing benefits.
The Supreme Court is set to address whether states can impose taxes on Catholic Charities and other religiously affiliated nonprofit organizations, following a case where the Washington state Supreme Court ruled that Catholic Charities was not exempt from unemployment taxes. This decision came after Catholic Charities was found to not be primarily engaged in religious activities, despite its religious affiliation. The case, which has implications for how religious organizations are treated under tax law, involves a dispute over whether these groups should be considered tax-exempt under the First Amendment's free exercise clause. The Supreme Court's decision could potentially redefine the boundaries between church and state, affecting how religious nonprofits operate financially across the U.S.

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