Mastercard Inc. is urging Pennsylvania tax authorities to rework a proposed rule on corporate income sourcing that it contends would overstep state law and conflict with practices in other states.
The credit card giant told the Pennsylvania Department of Revenue that its proposal “suffers serious flaws” because it directs payment companies to identify the cardholder’s location at the time of the transaction to determine where income should be sourced. Mastercard argued that its customers are the banks that issue the personal and corporate cards — not the cardholders themselves — and that it doesn’t have access to users’ locations or …