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U.S.  Supreme Court overrules Wisconsin judiciary in charity decision

Source: PBS Wisconsin

1 min read

U.S. Supreme Court overrules Wisconsin judiciary in charity decision

Jun 5, 2025, 2:47 PM CST

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MADISON, Wis (CIVIC MEDIA) – The U.S. Supreme Court has ruled a charity doesn’t have to pay state unemployment taxes, overruling a previous decision by Wisconsin’s Supreme Court. 

According to the State Journal, the Catholic Charities Bureau has paid Wisconsin unemployment taxes for about 50 years, even though other faith groups are exempt. State officials argued the group didn’t quality for that exemption because its work doesn’t include religious teachings and it’s largely funded by the public. 

The charity says its disability services are motivated by religious beliefs. The State Journal reports the Trump Administration gave feedback in favor of the Catholic Charities Bureau, influencing the final ruling.

Wisconsin officials worry that making the bureau exempt from paying into unemployment taxes will open the door for other business to do the same if they have any religious affiliation.

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