Bob Jones University v. United States

We granted certiorari to decide whether petitioners, nonprofit private schools that prescribe and enforce racially discriminatory admissions standards on the basis of religious doctrine, qualify as tax-exempt organizations under § 501(c) (3) of the Internal Revenue Code of 1954.

I — I

A

Until 1970, the Internal Revenue Service granted tax-exempt status to private schools, without regard to their racial admissions policies, under § 501(c)(3) of the Internal Revenue Code, 26 U. S. C. § 501(c)(3),1 and granted chari*578table deductions for contributions to such schools under § 170 of the Code, 26 U. S.…