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Ariz. High Court Upholds Car Rental Tax As Constitutional

Law360 (February 25, 2019, 8:34 PM EST) -- A car rental tax that helped fund the construction of sports facilities in Arizona was on Monday deemed legal under both the state and U.S. Constitutions by the Arizona Supreme Court, which found that the rental charges were not discriminatory or out of bounds under state law. 

The state Supreme Court affirmed an appeals court ruling on Monday that the surcharge is not a violation of either Arizona’s anti-diversion provision or the federal government’s dormant commerce clause. The high court ruled 6-1, with one justice dissenting in part, that the surcharge was not implemented as a means to discriminate against out-of-state commerce,...

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