Miami Strip Club Draws Doubt Over ‘Secret’ Rule for Tax on Fees

A Miami strip club doesn’t seem to have convinced a Florida appellate court panel at oral arguments Wednesday that the state revenue department applied a “secret” rule to impose sales tax on certain transactions fees.

Seventy7 LLC wants the Florida Court of Appeal, First District, to overturn an administrative law judge’s ruling that transaction fees a club imposes on a dancer’s redemption of fake currency is part of payment for a license to use the club’s real property, making it subject to commercial rent tax.

Judge Stephanie W. Ray asked Seventy7’s attorney why the holding isn’t a reasonable interpretation of ...