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Arizona Supreme Court Upholds Car-Rental Tax

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The Arizona Supreme Court has 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.

  Car rental companies 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 previously ruled in favor of the rental companies.

But the Arizona Court of Appeals reversed the decision last spring, ruling voters who approved the constitutional provision "did not intend to encompass every tax or fee in any way 'relating to' vehicles."

The decision Monday by the Arizona Supreme Court echoes the ruling by the Court of Appeals.

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