Court upholds car rental tax imposed in Maricopa County

Daily Legal News

The Arizona Supreme Court on Monday upheld a car rental tax surcharge that’s imposed in Maricopa County to pay for building a professional football stadium and other sports and recreational facilities, marking the second time an appeals court has ruled the tax is legal.

Car rental companies had challenged the surcharge on the grounds that it violated a section of the Arizona Constitution that requires revenues relating to the operation of vehicles to be spent on public highways.

A lower-court judge had ruled in favor of the rental companies four years, saying the surcharge violated the constitutional provision and ordering a refund of the tax estimated at about $150 million to the companies.

But the Arizona Court of Appeals reversed the decision last spring. The Arizona Supreme Court on Monday echoed the Court of Appeals’ ruling.

The surcharge partially funds the Arizona Sports and Tourism Authority, an agency that uses the money to help pay off bonds for the stadium in Glendale where the Arizona Cardinals play, along with baseball spring training venues and youth sports facilities. The rest of the authority’s revenue comes from a hotel bed tax and payments for facilities usage.

The surcharge is charged on car rental companies, but the costs are passed along to customers.

Attorney Shawn Aiken, who represented Saban Rent-A-Car Inc. in the case, said in a statement that the challengers will evaluate in the coming weeks whether to ask the U.S. Supreme Court to consider the case.

Related listings

  • Supreme Court returns to gun rights for 1st time in 9 years'

    Supreme Court returns to gun rights for 1st time in 9 years'

    Daily Legal News 01/23/2019

    The Supreme Court said Tuesday it will take up its first gun rights case in nine years, a challenge to New York City’s prohibition on carrying a licensed, locked and unloaded handgun outside the city limits.The court’s decision to hear th...

  • Freed by court, Pakistani Christian woman still a prisoner

    Freed by court, Pakistani Christian woman still a prisoner

    Daily Legal News 01/17/2019

    release from death row, awaiting a final ruling on her fate.She spends her days in seclusion for fear of being targeted by angry mobs clamoring for her death. In her hideout, she longs for her children who were taken to Canada for their safety.Pakist...

  • Chief justice details efforts to combat workplace misconduct

    Chief justice details efforts to combat workplace misconduct

    Daily Legal News 01/02/2019

    Supreme Court Chief Justice John Roberts is using his annual report on the federal judiciary to highlight the steps the branch has taken to combat inappropriate conduct in the workplace.In December 2017, Roberts asked that a working group be put toge...

New Rochelle, New York Personal Injury Lawyers

If you or a loved one has been injured in an accident, contact Kommer, Bave & Ollman, LLP, in New Rochelle, New York, immediately. We can answer all your questions and work with you to determine if you have the grounds for a personal injury lawsuit. The attorneys at our firm are determined to resolve even the most difficult of cases. We will work closely with you to determine the best course of action to get your claim or case resolved in the most efficient way possible. We will fight for your right to compensation! No one should have to suffer a financial burden from the result of another person’s carelessness. The attorneys at Kommer, Bave & Ollman, LLP will aggressively fight to ensure that justice is served on your behalf.