(June 13, 2006. Manchester, NH.) - Sheehan Phinney Bass + Green, led by shareholder and former managing director William J. Donovan, helped the Roman Catholic Bishop of Manchester claim victory in a tax dispute with the city of Nashua. The case involved the attempted revocation of a property tax exemption for two recently closed churches, St. Francis Xavier and St. Casimir.
The State of New Hampshire Board of Tax and Land Appeals ruled, in Roman Catholic Bishop of Manchester v. City of Nashua, that the city had no right to assess property taxes on the two former churches, even though religious services had been discontinued. Both churches ceased conducting Roman Catholic services in July 2003. The City stated that, because formal services were no longer being held at the buildings, the churches lost their religious exemption between the time of discontinuation of services and their subsequent sale. However, the Board disagreed. In the ruling, the Board said that "...the Properties continued to be a part of the mission of the Roman Catholic Church," and that "the storage and preservation of religious and sacred artifacts at the Properties continued to fulfill a qualifying tax exempt purpose." Furthermore, precedent set in previous New Hampshire cases supported this as a tax-exempt use.
"This is an important ruling in that it understands the need to respect the religious mission that these buildings fulfill, even if services have been discontinued," Donovan said. "The Diocese worked in a judicious manner to either continue the buildings' mission as religious institutions or turn them into secular, and tax-generating, uses. I am happy to see the board saw this as well."
|
