In this paper, we propose a bi-domain technique to reduce the blocking artifacts commonly incurred in image processing. Some pixels are sampled in the shifted image block and some high frequency components of the corresponding transformed block are discarded. By solving for the remaining unknown pixel values and the transformed coefficients, a less blocky image is obtained. Simulation results using the Discrete Cosine Transform and the Slant Transform show that the proposed algorithm gives a better quantitative result and image quality than that of the existing methods.