The Supreme Court on Thursday cleared the way for a Catholic Charities chapter in Wisconsin to secure an exemption from certain state taxes in a decision that could expand the type of religious entities entitled to tax breaks under the First Amendment’s protections for religion.

The U.S. Supreme Court ruled in favor of the Catholic Charities of the Diocese of Superior, who had asked the high court to overturn a decision by the state supreme court that the agency argued discounted its religious identity.

The U.S. Supreme Court on Thursday endorsed a bid by an arm of a Catholic diocese in Wisconsin for a religious exemption from the state's unemployment insurance tax in the latest ruling in which the justices took an expansive view of religious rights.