Bonum Certa Men Certa

Yet More Microsoft Staff (Now Suzan DelBene) Enters Government to Assist Microsoft's Looting of the System

Seattle by night



Summary: Microsoft veterans sneakily take over key positions in government and enable Microsoft to not pay tax, passing all the burden to poor people and leading to cancellation of state programmes

FROM a Microsoft employee who at last saw the light and decided to expose his former employer for what it does to avoid paying tax (financial misconduct notwithstanding) come some new posts that help reveal how Microsoft uses politics to essentially loot the public at large. The latest posts are:



i. Thank Ross Hunter for Making Microsoft's Record Profit Untaxable

Under Democratic Rep. Ross Hunter's leadership in the Washington State Legislature, Microsoft's licensing revenue is no longer taxable in Washington. Hunter led the change to Washington's royalty tax so that only licensing revenue sold to Washington State customers is taxable. Prior to 2010, worldwide royalty revenue was taxable.

Hunter is a former 17 year veteran of Microsoft, now head of the powerful finance committee. Rather than apportion the royalty tax (which resulted in only a tiny gain in state revenues), Hunter could have adopted stricter enforcement language around out of state tax transactions such as was proposed by the state's Department of Revenue. Since 1998, Microsoft has used a small office in Reno, Nevada to record its worldwide royalty profits - avoiding nearly $1.25 billion in tax liabilities.


ii. Now for what really matters...

If there's one thing I learned the past year working the Microsoft tax dodge issue, it's that the state legislature is pretty well bought and paid for by corporations like Microsoft. Who would have thought Rep. Ross Hunter would lead the charge to raise taxes on voters while giving Microsoft a giant back door tax cut? Well, at least today, we'll see what voters think of Ross Hunter's efforts.


iii. Microsoft's Nevada Employees Probably Shouldn't Joke About Criminal Activity

If you want to know what the Kool-Aid tastes like at Microsoft, check out this clip of its Nevada Licensing employees offering up their own "I'm a PC" anecdotes. It's not quite as cringeworthy as the Windows 7 Launch Party and not as bizarre as the IE8 vomit girl ad, but it's definitely painful to watch.

I was most intrigued by this brief segment in which an apparent Reno-based Microsoft Licensing employee jokes, "I'm a P.C. and I'm a criminal." On the wall in the background, there appear to be pictures of two to three other mugshot photos - perhaps also Reno employees? Exactly what is she referring to?


iv. An Update on Microsoft's Nevada Tax Operations and Washington State's Budget Deficit

* Most people in Seattle (and Washington State), know nothing at all about Microsoft's Nevada tax practice in part due to the fact that The Seattle Times has never reported the story.

* Local coverage of this issue does not appear to be improving. e.g. The Gates Foundation gave $400,000 to local news blog Crosscut.com, which later was caught removing anti-Microsoft sentiment from a published editorial by the University of Washington's Bill and Melinda Gates Chair of the Computer Science and Engineering Department.

* Perhaps due to the lack of awareness of his actions, King County voters re-elected Rep. Ross Hunter. Diane Tebelius, Hunter's Republican opponent never mentioned the Microsoft tax dodge, though she was briefed on it (by me), presumably because she did not want to alienate Microsoft employees in her district.


v. Ex-Microsoft Executive to Lead Washington State Department of Revenue

Today, Governor Gregoire appointed former nine year Microsoft executive Suzan DelBene to run Washington State's Department of Revenue. DelBene's husband Kurt is President of Microsoft's Office Division. DelBene's basically a marketing executive, although she recently ran unsuccessfully to unseat Congressional GOP Rep. Reichert. As far as I know she has no formal background in tax law. Full disclosure: I used to work with Ms. DelBene and for her husband Kurt at Microsoft in the early 1990s.

[...]

The Seattle Times has reported in the past that Mrs. DelBene is also a longtime friend of Representative Ross Hunter. Hunter is the 17 year ex-Microsoft veteran who as Democratic chair of the powerful legislative finance committee led the move to apportion the state's royalty tax, getting Microsoft off the hook for up to $145 million annually in taxes and potentially over $1.24 billion in back taxes, interest and penalties. Since 1998, Microsoft has recorded the bulk of its software licensing revenue in Nevada to avoid Washington State's royalty tax. This blog regularly questions the legality of this accounting practice.


Rick Perry is already pulling a fast one and it is worth emphasising that Microsoft has debt to repay while it claims to have possession of money (we are sceptical of it). To quote a recent article:

Microsoft (Nasdaq: MSFT) just borrowed $6 billion even though it has roughly $40 billion in idle cash. Crazy.


Crazy indeed. Why borrow money when you already have money? As other sites have been pointing out, this may indicate that Microsoft is hiding or distorting something, just as it distorts numbers in its reports to the SEC. But anyway, sticking to the subject of tax, here is some information about the Microsoft veteran who enters the government to become head of Department of Revenue. Amazing!

DelBene, a former vice president for marketing on Microsoft's mobile communications team, contributed $2.3 million of her own money to her campaign. She is married to Kurt DelBene, the current president of Microsoft's Office business.


Crony capitalism in action. For more about her, see the text here. Todd Bishop claims that "Microsoft pedigree isn't enough to ensure a Congressional victory in the company's home region." That's a straw man argument. Nobody suggested that Microsoft pedigree alone is enough to assure such a position. Bishop at least mentions this: "Also of note on the state level: Incumbent state Rep. Ross Hunter, another Microsoft veteran and Democrat, is facing a tough fight for his seat. He's leading Republican challenger Diane Tebelius, but the race was still too close to call as of early this morning. Hunter has come under criticism for helping to enable the company's practice of recording software royalty revenue in Nevada, reducing its tax bill in its home state by an estimated $100 million a year."

The same blog said right in the headline that "Ex-Microsoft exec DelBene to head state revenue department" and ABC (Bill Gates-sponsored) hosted content from AP, saying that "Gov. Gregoire Appoints Suzan DelBene to Cabinet" (nothing at all about the Microsoft tax controversy).

Former congressional candidate Suzan DelBene was appointed director of the state Department of Revenue on Tuesday, with Gov. Chris Gregoire saying that the former Microsoft executive "has the knowledge, skills and experience needed to guide the agency through what is a transformative time for the department and the state."


This article from AP also appeared in MSN. Microsoft ought to like such shallow reporting which bothers not at all with the real issues. There is more news from Reno, where Microsoft manages to arrange the Washington tax avoidance. "Angle Appears at Reno's Microsoft Licensing" says the headline.

Lately, every day feels like Election Day. The frenzy is everywhere from those TV commercials, to sign-crowded intersections. And protestor-frenzy, in Reno to greet Sharron Angle as she made a Monday visit to Microsoft Licensing off Neil Road. Microsoft would not let us in…we weren't exactly invited. Angle's campaign did not even tell us ahead of time that she was appearing. Outside was a group of protestors, comprised of a man in a chicken outfit, 2 Reid campaign workers, one unemployed volunteer, and 3 members of local 3, the operators-engineers union. They told us they're not getting any work. Union apprentice Ronald Feemster told us he'd "like to see somebody in office that might actually do some good for northern Nevada." As to why he doesn't blame the current administration, including Harry Reid, he told us, "Because I feel it was inherited."


Elsewhere in the news it's now announced that many programmes are being cut in Washington and citizens are furious. One site has nearly 1000 comments posted in response. It contains a lot of finger-pointing, with Microsoft and xenophobia being the lead topics.

It ought to be added that Microsoft's avoidance of tax and the cronyism which enables it were never a US-only issue. Microsoft was found guilty in other countries and in Europe it is using Ireland as a tax haven, with severe consequences to the whole of Europe. From the new article titled "Consequences of the Irish Bailout":

The key bailout test was whether or not Ireland would retain its 12.5% corporation tax, which has attracted a number of giant multi-nationals to relocate there -- such as Google (GOOG), Pfizer (PFE), and Microsoft (MSFT) -- much to the annoyance of other European countries, especially France and Germany who had this at the top of their conditions hit list. The fact that Ireland has apparently retained sovereignty over the corporation tax bodes well for eventual economic recovery as the relocated multi-nationals account for more than 70% of Irelands exports and generate more than 50% in corporation tax revenues, without which Ireland truly would be bust for the next decade.


Also see this new case of blackmail, titled "Microsoft, Hewlett-Packard Warn Ireland on Tax, Telegraph Says". Well, via a lobby group, the Chamber of Commerce, Microsoft is driving its interests in Europe, at the expense of mere people as opposed to corporations. The article says: "The American Chamber of Commerce in Ireland warned the country that an increase in its corporate tax as part of a European Union and International Monetary rescue package may damage foreign investment, the Sunday Telegraph reported." The Irish Times has published an article titled "The people person at Microsoft", but Microsoft does not care about people; it cares only about its shareholders who are mostly in the US.

One can conveniently ignore all of this, but Techrights will not.

Recent Techrights' Posts

Michael Catanzaro's Latest Blog Post Affirms Rumours of Red Hat Changes and RAs/PIPs at IBM
reading between the lines, IBM is "spitting out" Red Hat staff
 
Links 28/08/2026: Chatbot Pushers Admit They're Used Heavily for Social Engineering Scams, Strong Backlash Against "Smart Glasses" (CCTV on Legs)
Links for the day
If Linux Was Written in Rust, 80% or More of Linux Developers Would Not Understand It (Same If It's Composed by LLM Slop)
The licence (GPL) is not enough when there are ways to bypass it
Gemini Links 28/08/2026: Absurd Tomodachi Summer, Screen Piggery, and Jugulans 1.0.3 Released
Links for the day
Links 28/08/2026: "UK Power Grid Has a Phantom Data Center Problem" and "Growth at All Costs is Cancer"
Links for the day
SLAPP Censorship - Part 164 Out of 200: Patent Troll SLAPPs, Defamation Trolls, and Stranglers From America
You start to wonder if the core issue is insecurity
Rumours of More PIPs and Layoffs at Confluent Just Months After IBM Bought It
It is meanwhile apparent IBM will have mass layoffs next week (September)
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Thursday, August 27, 2026
IRC logs for Thursday, August 27, 2026
After Many Waves of PIPs (Silent Layoffs) IBM Makes Non-Silent Layoffs, Effective Next Week (September)
What we heard is turning out to be true
Gemini Links 27/08/2026: Oklahoma, Tennessee, Haiku OS, Digital Resistance, and Staying Offline
Links for the day
Links 27/08/2026: Facebook to Pay Up to $17.1 Billion to Cover Up Known Harms, Nepal Landslide Kills Many
Links for the day
The Register MS Has Just Published Paid Spam That Says "AI" 19 Times
1.5 hours ago
Mainstream Media is Paid to Link "AI" Criticism/Boosting to Jeffrey Epstein Enablers, in Effect Showing How Corrupt This Media Became
Many readers will have noticed what was a paid-for PR campaign of a global scale
RSS is King: Why Having Subscribers or Followers in Sites You Neither Own Nor Control is Loss of Autonomy and Search is Mostly Slop (Plagiarising Sites, Not Linking to Them)
Because digital connections in third parties aren't assets; they endow another party with tremendous power over people (e.g. MElon getting to decide who can and cannot reach people or what messages to "dim down")
Claims of Tens of Thousands of 'Silent Layoffs' at IBM (and Red Hat)
Looking at recent activity in thelayoff.com, about 80% of the comments and posts are about PIPs
Links 27/08/2026: "Flock’s CEO Is Lying to Cops" and Microsoft's GitHub Actions Breaks Down Again (Too Many Layoffs, Loss of Knowledge)
Links for the day
Clownflare Sees GNU/Linux and ChromeOS at Over 13% in Bahamas
Narrowing down to desktops and laptops, and judging by Web requests that go through Clownflare, many people there use GNU/Linux or Google's 'bastardised' version of it (with spyware preloaded)
Richard Stallman Complains That Linux Gives a Bad Name to GNU and Asks for Feedback on What's Wrong with Systemd (and Wayland)
Maybe some people want to send him a detailed, polite explanation
GNU/Linux Does Not Need Social Control Media to Succeed
When it comes to Social Control Media, Richard Stallman was right
Increasing Focus on Patent Injustices
We'll soon cover the EPO a lot more
SLAPP Censorship - Part 163 Out of 200: Attack on Computer Science and on Computer Security (or Associating Back Doors and Kill Switches With "Security")
Nowadays there are many who pretend to be security professionals
There's No "Next XBox"
Nothing comes ahead except layoffs and price hikes
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, August 26, 2026
IRC logs for Wednesday, August 26, 2026
Gemini Links 27/08/2026: Conditioning, Lagrange 1.21, and Computer Games
Links for the day
Links 26/08/2026: Patent Troll InterDigital Utilises Software Patents in Unconstitutional Court, "WikiHow Launches Copyright Infringement Suit Against" LLM Plagiarism
Links for the day
The Register MS Has New Fake Article ("SPONSORED FEATURE") With "AI" 21 Times In It
The Register MS is one among many culprits
Gemini Links 26/08/2026: “Doomsday Clock”, Rwanda Genocide, and Boasting About Using LLMs Instead of Writing Code (Due to Employer's Pressure)
Links for the day
No Allure in Omarchy, the Political Hyenas Only Give it More Free Publicity
To me, Omarchy seems like a weak project because of the slop (an HR problem)
Twitter is Not an API or a Communication Site, It's a Really Bad Site That Forces You to be Enslaved by Its Algorithm (Amplifying Its Owner's Worldviews)
the crackdown on Nitter means we should all avoid accessing or linking to x.com (Twitter)
Don't Let Bastards and Haters Grind You Down
They say "jealousy is the sincerest form of flattery"
GNU/Linux Rose in Caribbean Islands
combined population is measured at 44,182,048
IBM's Quantum Computing Lies Explained Again by Sabine Hossenfelder
To become a CEO at IBM one must lie
Controlling Culture and Social Behaviour by Digital Locks
if you don't fully control the technology in your possession, then you're not using that technology, this technology covertly uses you
Goodbye, Dolly
This week we say "goodbye, Dolly."
Links 26/08/2026: Election Bribery (aka Vote-Buying) Deemed "OK" in the US, "Nitter is Shutting Down After a Cease and Desist Letter" by MElon
Links for the day
Analogue So Much Better and Faster
From what we can gather, the tram ticketing system does not use Windows; we never saw it crashing or rebooting (or showing some Windows logo) in decades, so we assume it runs some kind of Linux
Linux Today Dumped All Social Control Media Last December
Linux Today seems to have concluded that all Social Control Media is just a waste of time
Don't Say X.com is OK Because People Can Access It by Alternative Means
Can Mozilla please clarify who inside Mozilla greenlit a return to X.com?
The Reach of techrights.org Is Increasing
We are on the side of women victims
SLAPP Censorship - Part 162 Out of 200: An Outline of Events
An outline of events
Pushed to Live
We still have some other work - stuff related to the editing of pages - which is work in progress and has been subjected to testing for many months
GNU/Linux Measured at 10% in Germany, Based on Cloudflare
It's peaking late at night
Richard Stallman's GNU Project Began 42 Years Ago With GNU Emacs and More
GNU Project announced almost 43 years ago (next month it's the anniversary)
Fake Articles "Sponsored by HPE" Published in The Register MS
Selling proprietary products as 'alternatives' to other proprietary products
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Tuesday, August 25, 2026
IRC logs for Tuesday, August 25, 2026
Gemini Links 26/08/2026: Journal Plans and Extending Finger Protocol
Links for the day