Atlanta Urges State Justices to Reject Block Inc. ‘Tax Shelter’

A ruling favoring the digital payments company Block Inc. fundamentally changes how occupation taxes are calculated throughout Georgia, threatening an important revenue source for local governments, the city of Atlanta told the state’s top court in a petition for review.

The June decision from the Georgia Court of Appeals allowing Block to argue its Georgia gross receipts should be allocated to other states—even though it doesn’t pay occupation taxes to those states—"creates a tax shelter” not intended by the legislature nor permitted by law, one that “cries out for certiorari review,” the city said in its petition filed Monday.

The ...