William J. Brennan

“ These federal tax benefits are important to the financial wellbeing of private segregated schools, and significantly support their development, operation and expansion. Moreover, by facilitating the development, operation and expansion of racially segregated schools which provide alternative educational opportunities for white children avoiding attendance in desegregating public school systems, defendants are thereby interfering with the efforts of federal courts, HEW and local school authorities to desegregate public school districts which have operated racially dual school systems. ”

“ In particular, the respondents have not simply alleged that, as blacks, they have suffered the denigration injury "suffered by all members of a racial group when the Government discriminates on the basis of race." Ante at 754. Rather, the complaint, fairly read, limits the claim of stigmatic injury from illegal governmental action to black children attending public schools in districts that are currently desegregating, yet contain discriminatory private schools benefiting from illegal tax exemptions. ”

“ In the analogous context of housing discrimination, the Court has similarly recognized that the denial of an opportunity to live in an integrated community is injury sufficient to satisfy the constitutional requirements of standing. In particular, we have recognized that injury is properly alleged when plaintiffs claim a deprivation "of the social and professional benefits of living in an integrated society." ”

“ In particular, they allege that existing IRS guidelines permit schools to receive tax exemptions simply by adopting and certifying — but not implementing — a policy of nondiscrimination. Pursuant to these ineffective guidelines, [2] many private schools that discriminate on the basis of [p769] race continue to benefit illegally from their tax-exempt status and the resulting charitable deductions granted to taxpayers who contribute to such schools. ”

“ II A In these cases, the respondents have alleged at least one type of injury that satisfies the constitutional requirement of "distinct and palpable injury." [3] In particular, they claim [p771] that the IRS's grant of tax-exempt status to racially discriminatory private schools directly injures their children's opportunity and ability to receive a desegregated education. ”

“ There is, of course, no rational basis on which to treat children who seek to be educated in desegregated school districts any differently for purposes of standing than residents who seek to live in integrated housing communities. ”

“ Moreover, [the] organizations . . . are also exempt from federal social security taxes . . . and from federal unemployment taxes. . . . The resulting exemptions and deductions provide tangible financial aid and other benefits which support the operation of racially segregated private schools. ”