The Borgata Hotel Casino & Spa of Atlantic City, New Jersey has been pushing for some time to see a resolution provided with city officials based on tax refunds. The refunds were due back in December, but the Borgata never received payment. Because of this, the casino’s attorneys scheduled an appearance in court. This week, the casino will have attorneys asking a judge to rule in their favor in the matter.
The Borgata Casino is the largest taxpayer in the city and has been notified by the New Jersey Tax Court as to their final stance. It was in December that the Borgata tried to increase the speed of the procedure for refunds by filing a lawsuit with the Superior Court but were unsuccessful.
For a refresher on the matter, the Borgata Casino began a legal battle five years ago. Back in 2013, the assessments of the company were reduced to $880 million and $870 million. This ruling remained unchanged despite the casino trying to fight the reduction in the assessment. In a settlement agreement, it reads that Atlantic City owes the Borgata for a time period of 2011 to 2015, a total of $88 million in refunds, this amount excluding interest.
The settlement was to be paid by the end of 2014 but the deadline was missed by the city. Litigation ensued by Borgata in an attempt to be paid the amount owed. The city now does not necessarily have the means to pay the casino, as they are currently struggling with financial issues, mainly trying to avoid bankruptcy.