Above and Beyond Child Care v. State of Arizona

Summary

A state appeals board has reversed a $25,000 tax bill that had been levied against a Phoenix-area Christian day care center run by a church. The Arizona Department of Economic Security determined in 2011 that Above and Beyond Child Care, operated by Palms Christian School in Surprise, was liable for unemployment taxes even though state law specifies that organizations operated primarily for religious purposes are not subject to those taxes.