Arizona Cardinals Face Tough Questions From Judges in Tax Case

Arizona’s National Football League team didn’t seem to convince three state court judges at oral arguments Tuesday that a stadium facilities fee it collects from ticket buyers can’t be taxed as part of its gross income.

The Cardinals collect a facility use fee on ticket purchases for home games at State Farm Stadium. The team remits the fees to the Arizona Sports and Tourism Authority, which uses the funds to repay bonds it issued to finance the stadium.

The Arizona Court of Appeals, Division One, panel seemed skeptical of the team’s argument that it merely acts as agent for the ...