City of Pomona v. Christian Fellowship Center

Defendant appeals from a judgment in favor of the city, holding valid a gross income tax on the operation of a “bingo” parlor. We reverse.

Defendant Christian Fellowship Center is a religious corporation. Pursuant to article IV, section 19, of the state Constitution, and section 326.5 of the Penal Code it operated, in the City of Pomona, during the years herein involved, bingo games, the proceeds of which were used to support its religious activities. The city has enacted an ordinance, imposing a graduated tax on the gross income from that activity. The sole issue before us is whether the state law preempts the field of taxation of bingo games. We hold that it does.

Prior to 1976, bingo, as a gambling game, was prohibited by section 19 of article IV of the state Constitution. An amendment of that section, approved by the voters in June 1976, added a subdivision (subd. (c)), to provide that “The Legislature by statute may authorize cities and counties to provide for bingo games, but only for charitable purposes.” (Italics added.) Pursuant to that constitutional authorization, the Legislature adopted section 326.5 of the Penal Code.

That section is a long statute,…