Summary: The criminal enterprise known as Microsoft finds itself embarrassingly exposed in the courtroom, for the IRS belatedly (decades too late) targets the company in an effort to tackle massive tax evasions
AT the end of last year we wrote about the IRS setting its sight on Microsoft, in spite of Microsoft’s influence in the United States government. Microsoft then attacked the IRS using its lawyers, for merely investigating Microsoft (i.e. doing its job), thus wasting taxpayers money in the courts. Can anyone not see the sheer arrogance of Microsoft? Having already been caught engaging in serious financial fraud (reported to the authorities by an insider) and despite being notorious for taxation/tax violations, Microsoft thinks it has moral ground and believes it can sue the IRS for merely investigating a criminal. Criminal companies with the “God complex” apparently believe that they don’t need to pay tax (because they are very politically-connected) and if you say that they do, they threaten you and bully you. It’s a form of SLAPP (strategic lawsuit against public participation). Microsoft already loses billions of dollars and it sued the IRS for alleging that Microsoft owes billions of dollars to US citizens (easily provable).
This new article from The Register, based on legal documents, reveals the latest in this saga:
The ongoing squabble between Microsoft and the US Internal Revenue Service is heading to court, beginning with a hearing to take place in a Seattle federal court on Tuesday.
The case is gearing up to become one of the largest-ever legal battles between tax authorities and a US corporation over the practice of shifting assets to overseas subsidiaries as a way of avoiding US tax.
The IRS has alleged that deals Microsoft struck with subsidiaries in Bermuda and Puerto Rico between the years of 2004 and 2009 have potentially cost the US Treasury billions in tax revenue. But Redmond thinks the top tax agency’s snooping has gone on long enough and it should either produce a hard figure or drop the whole matter.
Microsoft also claims the IRS acted improperly when it hired two outside law firms to help it in its investigation, which the software giant describes as improperly delegating a government function to a private firm.
Microsoft has filed two Freedom of Information Act (FOIA) requests to see documents exchanged between the IRS and the law firms it contracted, including Quinn Emanuel Urquhart & Sullivan and Boies Schiller & Flexner. The IRS has provided some such documents but Microsoft thinks it should be compelled to produce more.
Even if Microsoft goes bankrupt (it suffers losses already), people like Bill Gates, who became rich owing to the company’s criminal activities, should be able to (if not forced to) pay what was looted from the public. More of the corporate media should have the courage to cover the above news, but seeing how Microsoft uses SLAPP against the messengers, maybe the media chooses to stay silence and let only official documents (buried behind paywalls) speak. █
“We’ve got to put a lot of money into changing behavior.”
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Summary: Few remarks on Microsoft’s latest admission that it is losing a lot of money
The latest Microsoft layoffs, which are misleadingly being framed by the corporate media as a “Nokia” thing [1, 2, 3], have financial impact as well. Microsoft has just publicly admitted that it is losing billions of dollars.
“Recall how Microsoft bribed its own staff (a whistleblower) after getting caught in financial fraud…”British media claims this to be “biggest loss in [Microsoft] history”, but the biggest losses are perhaps in the past, as there’s fraud that is many years old. We have written a lot about Microsoft’s financial misconduct for many years. It is not speculative. Recall how Microsoft bribed its own staff (a whistleblower) after getting caught in financial fraud [1, 2] — an often-overlooked issue these days (Microsoft is claimed to have lost $18,000,000,000 in 1998). This may seem like very old news, but it is definitely relevant to today’s massive Microsoft losses. Microsoft has paid millions of dollars to gag several CFOs since then. They must keep up the dodgy accounting.
Nokia is destroyed because of Microsoft, but Microsoft’s losses aren’t to be blamed on Nokia. What kind of a Nokia “CEO” is being appointed with the formalised promise of a $20 million bonus to sell the company? Only Microsoft’s Elop, probably the world’s most famous mole, managed to do this together with Ballmer. Microsoft now pays the price for misguided entryism that has achieved nothing but destruction of Nokia’s Linux efforts. █
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Summary: Debunking the myth of Microsoft as a US company or even an international company, as opposed to globalist (lacking loyalty to anything but its own bottom line)
Microsoft is not a US company but a globalist company when it comes to taxes. It just doesn’t want to pay taxes and this new article calls out Microsoft for hiding money in offshore account so as to avoid tax. The headline names Microsoft although Microsoft is no longer unique in the area of technology. It’s just the worst. To quote the opening part: “So it is with companies that keep massive stockpiles of cash in foreign countries in order to avoid paying US corporate tax rates. In fact, the only thing that prevents this issue from being relentlessly bleak is the absurdity of what some of these companies get away with. For example,according to the advocacy and lobbying group Citizens for Tax Justice (CTJ), American corporations claim to have earned so much profit selling goods in tax-free zones like the Cayman Islands and Bermuda that the figure amounts to 16 times these countries’ total GDPs — which defies reality.”
Microsoft basically evades not only US tax. It evades tax everywhere. It’s globalism; it’s the plutocrats’ sovereignty (broderless and above international regulations).
Apple and Microsoft, as the article above goes to show, have more offshore cash and pay lower foreign tax rates than most any other Fortune 500 companies. Microsoft and taxes are two words that only go hand in hand when it pertains to taxation of users of Windows, Office, etc.
Considering how Microsoft helps the US government (among other governments) spy on US citizens, one cannot consider it a US company. It helps espionage against US citizens, which is inherently against US law. This is done not just because Microsoft loves and embraces surveillance but because it wants lucrative government contracts all around the world and it is willing to betray users of its software for these contracts, even in Russia, as we showed half a decade ago. Microsoft even works for Putin when it suits its agenda, helping to imprison Russian dissents by framing (through surveillance) and misuse of law enforcement privileges, however unjustified. Microsoft is loyal to nobody except Microsoft and lobbying operations such as the Gates Foundation, which helps Bill Gates evade tax and rapidly increase his personal wealth.
Microsoft has just dumped ‘Do Not Track’, showing that Microsoft has perhaps grown tired of pretending to care about privacy. Only a fool would ever choose a ‘cloud’ for government, especially a proprietary software ‘cloud’ from a foreign company that engages in espionage activities or at least facilitates them. Using a Web browser from Microsoft is worse than reckless.
Microsoft likes to pretend to be a national company in every nation by creating subsidiaries like “Microsoft UK”, but it’s a lie and a sham. There is an ODF debate in the UK at the moment. Microsoft pretends to be an ODF company and a British company after attacking it through British proxies (like partners), though we’ll soon see how that worked out. Microsoft once tried to frame ODF as anti-American, as if Microsoft itself was pro-American (it’s pro-whoever-pays-Microsoft). As Glyn Moody pointed out the other day, the latest moves seem to make it likely that Microsoft will get altogether dropped, at least Microsoft Office. “Back in July last year,” says Moody’s article, “I wrote about an incredible opportunity for the open source world. After years of disappointments, and despite the usual lobbying/threats by a certain large US software company [Microsoft] against the move, the Cabinet Office announced that it was officially adopting the Open Document Format (ODF) for sharing or collaborating on government documents. At the time I exhorted everyone involved to do their utmost to make this work, since it was the biggest chance to show that open standards and open source were not just viable as a government solution, but actually better than the alternatives.”
Moody just calls or alludes to Microsoft as “a certain large US software company”, but not naming it is playing into Microsoft’s hands and Microsoft should not really be described as a US company, it’s just a pariah that views itself — much like Gates himself — as Napoleonic and thus above every international law.
As Moody put it at the very end, “there’s no timetable for this development, which means it might be a while before we can actually use this software. Still, it’s further testimony to the fact that the ODF ecosystem is one of the most exciting places in free software at the moment. Much of that can be attributed to the boost given by the UK government’s high-profile decision to adopt the format last year, for which it deserves recognition and our thanks.”
The sooner the world recognises how Microsoft views the world, the more swiftly it will unburden itself from abuse, including systemic looting (tax evasion, taxes on citizens), extortion (e.g. with patents), and bribery. █
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Summary: After the infamous IRS brawl comes another confrontation between Microsoft and the SEC, which is unhappy with Microsoft for seemingly cooking the books again
AS OUR longtime readers may know, Microsoft’s financial fraud is a good example of how certain companies with strong government connections essentially exist above the law. According to this new SEC correspondence (regarding filings), Microsoft tricks — same ones as those we have covered here for years — upset the regulators. Robert Pogson has already written about it and it comes at a time when Microsoft is under investigation by the IRS too. “I’ve been reporting that for years now and the SEC is concerned that investors may not be getting the full story because of the layout and detail of Microsoft’s filings,” he wrote.
Microsoft got caught by the SEC even in the 1990s, whereupon it bribed the whistleblower to escape true accountability. It’s a “too big to jail” scenario. Microsoft’s financial practices have historically reaffirmed its status as a criminal, corrupt entity. Perhaps we are going to see more of that in months or years to come. Perhaps not, assuming Microsoft can pull some strings inside the government (with moles or nepotism, like those who help the Microsoft dodge tax). █
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Summary: The nerve of Microsoft wasting taxpayers’ money in addition to evading tax, costing many billions of dollars to the US economy and countless billions outside the US while bullying regulators who dare to investigate the matter
ONE of Microsoft‘s very many abuses is avoidance of tax, not only in the US but also in Europe, Asia, and so on. The company hardly has a track record of obeying the law, so why make an exception when it comes to taxes?
“Microsoft continues to thrive in and promote lawlessness.”Microsoft really showed how arrogant it is when it attacked the IRS for merely investigating Microsoft (i.e. doing its job). It’s unprecedented bullying that one can expect from no company other than Microsoft because Microsoft has a past of criminal tax violations. It bribed people to make the charges go away and eventually settled with the investigators. Even Microsoft whistleblowers get bribed by Microsoft. Rich companies can get away with just about everything, provided they have government connections and enough money to bribe with.
Based on this new report, Microsoft is already abusing the IRS to the point where the IRS needs to spend millions of dollars on lawyers:
The software behemoth is battling the agency over whether it pushed profits offshore to skirt taxes. It’s the latest case to test IRS firepower in cracking down on similar tax maneuvers by other technology companies, which can save hundreds of millions using the tactics.
Both are playing hardball: The IRS, which is spending $2 million on outside legal guns to fight the case, also issued a summons to compel former CEO Steve Ballmer to testify, while Microsoft shot back with legal demands of its own, accusing the agency of hitting it with a “fusillade.”
The legal fees paid by the IRS are basically derived from tax budget. The bills are passed to the very same taxpayers which Microsoft deprived; so by attacking the enforcer over tax violations (over its own crimes) Microsoft basically wasted yet more tax money. How insidious is that? In Spain, a banker sued the judge who punished him for his crimes. This is even worse because the public pays the legal bills. Microsoft continues to thrive in and promote lawlessness. █
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Summary: Piketty is approached by Bill Gates, who bemoans the idea that the plutocrats too should pay tax like the rest of us
BEST-SELLING author Piketty reveals some interesting details about the mindset of Bill Gates, the man who created — using criminal activity — software monopolies and is now preoccupied with monopolies in education (public sector), a GMO monopoly, etc.
“This relates to the whole “job creator” myth — a myth more harmful that that of the “free market”.”As mentioned the other day, Gates is increasing his personal wealth very quickly. He is not giving away or back, except in the form of media distortion and spin (he bribes a lot of publications and channels for this distortion and spin). The money he acquires is not earned through hard work; some of it is essentially stolen from taxpayers (through bamboozled politicians), taken by force from poor and exploited people, and on top of this Gates evades tax using the Gates Foundation.
A reader sent us this article about two of the most famous people for supposed ‘charity’ (actually investing tax-free in large corporations that exceptionally harm society and the planet). The article says that Bill Gates and Warren Buffett became $21.1 billion richer in just one year (last year). To quote: “The fact that wealth begets more wealth was illustrated once again last year by Bill Gates and Warren Buffett, currently the two richest people on Earth. According to Bloomberg, the pair finished 2014 a combined $21.1 billion richer than when the year began. (Gates’ fortune rose $8.1 billion to a total of $86.6 billion. Buffett’s rose $13 billion; he’s now worth $73.8 billion.)”
A lot of gullible people think that Gates is feeding the world with wealth rather than hoarding at the world’s expense (this money comes or is generated by other people’s labour), so to them the idea of Gates dodging tax may seem appealing. This relates to the whole “job creator” myth — a myth more harmful that that of the “free market”. Gates and Buffett happily let their bribed papers tell us they are “givers” and the Wall Street press (Bloomberg), owned itself by a plutocratic billionaire, reveals what Gates thinks about paying tax:
“I had this discussion with Bill Gates a couple of weeks ago,” Piketty, the author of “Capital in the Twenty-First Century,” said today at an economics conference in Boston. “He told me, ‘I love everything that’s in your book, but I don’t want to pay more tax.” A tax on wealth is one of Piketty’s key recommendations for addressing inequality.
The famous thief Bill Gates literally tells Piketty: “I don’t want to pay more tax”. what a ‘generous’ guy, eh?
“Minor Gates apology going on there,” wrote to us a reader, “and emphasized in articles based on the Bloomberg post.”
Never expect balanced coverage of Gates from Wall Street papers that are themselves owned by famous billionaires. This includes the Wall Street Journal, which is owned by Rupert Murdoch. These newspapers exist to serve power and depreciate privileges of all except the super-rich. █
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Things must be grim when China is upholding the law whereas the West refuses to
Summary: China is reportedly taking action against Microsoft’s notorious habit of tax evasion and fining the company well over $100 million
NOW THAT Microsoft has been found to be evading tax (a crime, but not one that executives of large corporations often go to jail for) and fined for it in a nation as large as China (just like in India half a decade ago, as well as in other places) is the US going to follow suit? Last week we showed that the IRS was on this case, so Microsoft began bullying the IRS (the vanity of corporations that control their government).
“”Remember when Microsoft China offices were raided (just earlier this year on numerous occasions and its patent extortion plot was targeted by the Chinese authorities? Well, it sure seems like China enforcing the law against massive criminals like Microsoft, setting a good precedent that US and Europe should follow. To quote the new report: “Microsoft has reportedly been issued with a charge for £87 million in back-taxes following an investigation into alleged tax evasion by the Chinese authorities.”
For those who still associate Microsoft with something other than crime and corruption, the news report above can serve as a valuable wake-up call. █
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Money can’t buy happiness, but it sure buys reality distortion
Summary: Having put a universal tax on many things (not just computers) and evaded tax using the classic ‘charity’ trick, Gates is now buying the media, the schools, politicians etc. and earns as much as 10 billion dollars per year while the public is taught that Gates is a giver, not a hoarder of the worst kind
Bill Gates is following the trajectory of that infamous Rockefeller empire. He has systematically bribed the press at the cost of about a million dollars per day (on average) to tell us he gives away his money. Some people view him as a giver because of this paid-for propaganda, but he is actually getting $10bn (or ~7-8%) richer in just one year, based on last year which is not much different from previous years. This money comes from somewhere, or at the very least it represents the passage of power and wealth (possession).
According to this new article, “Bill Gates is the richest person in America with a fortune of $81.5 billion, up from $70.8 billion last year, according to Wealth-X.”
When will the media abandon this bogus narrative that Gates ‘gives back’ his wealth? He sure gives a small portion of it to the media in order for this media to fool the public. The corporate media is applauding him for getting richer as though that’s some kind of an achievement while actually characterising him as a giver, not a hoarder (which is by definition what happens when his wealth expands like this). It is just another Rockefeller-type PR plot. It is mostly working.
Gates not only uses the media to fool the public. He also uses schools and it indoctrinates pupils. As this new article puts it: “Gates has personally invested $10 million in the Big History Project, which has spread to about 1,200 schools since it launched in 2011.”
That is just a small fraction (a thousandth) of what he earned in one single year and millions of young people are now mentally controlled by a plutocrat and those who financially depend on him.
Billionaires rewriting history is a classic problem as those who can rewrite history can dominate the future. Watch how some vicious people are now celebrated in schools as heroes. This other new article refers to it as the “Gates Foundation’s reckless experimentation” with the school (indoctrination) system in the US and it is far from the only such article. Many teachers are fed up and pissed off by this. There are public protests which only Gates-sponsored media seems inherently resistant to coverage of (unless it’s for demonising the protesters). A publication may develop a sort of sixth sense, knowing that criticising or upsetting Gates would discourage money awards from him or almost certainly stop any further awards from him. It’s a form of systemic bribes, like those which corporations give to politicians.
The propaganda machine continues to be effective, however, as many newspapers are still bribed by Gates and they routinely show the impact of these financial strings. The Guardian , for example, is a good example of Gates bribing the press in the UK (he even bribes the biggest players such as the BBC, repeatedly even).
Having bribed The Guardian (whereupon it stopped criticising him and his horrible impact through industrial partners like Monsanto) this college dropout, Bill Gates, is now treated by The Guardian as an Ebola ‘expert’ (see puff piece without any disclosure).
Other publications he bribes treat him like an economist, but some show that he does not grasp economics and he has the nerve to blame others for not paying tax (or encouraging further taxation on those whom he is taxing) while he uses his fake ‘charity’ to avoid paying tax. Yes, he points his fingers at poor people or middle-class people when he himself evades tax using a classic trick. He still works on privatising land1, 2]. That’s when when one seeks to profit from what’s public, having reached or exceeded the limit of one’s greed. █
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