The Islamic Center of Nashville is suing the state in federal court after it says it was denied a tax exemption.
The lawsuit, filed Monday, argues the center's religious tax exemption for its Nashville International Academy school was denied because of a banking deal that allowed the center to follow its religious beliefs. The center was billed more than $87,000 in past-due taxes as a result.
The Islamic center first appealed the denial to an administrative law judge and the Assessment Appeals Commission. In May, the commission said a transfer of title — which was a part of the banking agreement — disqualified the center from exemption. It also sympathized with the mosque and suggested they take legislative action.
A state spokesman said he couldn't comment on pending litigation.