See publication Words and Phrases for other judicial constructions and definitions. F.A.O. Schwartz, Jr., Corporation Counsel of the City of New York, Tax Commission of the City of New York, Office of the General Counsel, New York City, for respondent. This Article 78 proceeding seeks a judgment vacating the determination of respondent which denied the Church of Scientology a real estate tax exemption for certain property owned by the church. The Church of Scientology was founded more than 20 years ago by L. Ron Hubbard. The subject is asked to discuss the most disturbing aspects of his life and past experiences, and his stress reactions are recorded.
Followers often pay the church thousands of dollars during the auditing process.
Decisions in various jurisdictions have gone both ways. The Rev. Ron Haugen, president of the church, was the only witness. Rev. Haugen, at the hearing, testified that 31 percent of the weekly donations were used to pay salaries and benefits, but in a letter submitted after the hearing drastically reduced the estimate to 17 percent. From this, the Tax Commission concludes that the church is operated for profit. The pursuit of a particular approach to life is not a purpose giving rise to a tax exemption.