Bonum Certa Men Certa

Microsoft Tax Avoidance, by the Numbers

Guess who is left to pay Microsoft's and BIll's bills

Debt and demand



Summary: Another up-to-date look at how Microsoft loots the American public

SEVERAL readers have independently brought to our attention this post from Slashdot, which reiterates old facts about Microsoft's tax avoidance.

"With Washington State facing a billion-dollar biennial budget deficit, the spotlight again shifts to Microsoft's software licensing office in Reno, Nevada. 'Although the majority of its software development is performed in Washington State, Microsoft records its estimated $18 billion in licensing revenue per year through a corporate office in Reno, Nevada where there is no licensing tax. Just by enforcing the state's existing tax law from 2008 onwards, we could reduce Washington's revenue shortfall by more than 70 percent. Alternately, we could pursue the entire $707 million from Microsoft's thirteen years of tax dodging and cover most of the expected deficit going forward.' We have discussed Microsoft's creative capitalism in the past."


Here is the main source referenced by Slashdot. It states its case by citing some older reports and connecting them to contemporary trends and figures.

Last week, the Seattle Times reported that Washington State's tax revenue is expected to decline by $238 million creating a $430 million shortfall in the biennial budget. The deficit is expected to grow further as a result of "rising demand for state services and other factors". Luckily, there is an easy way to shore up our finances - ask Attorney General Rob McKenna to begin enforcing the state's existing tax law on software licensing.

Over the past thirteen years, I estimate that Microsoft has avoided paying more than $707 million in B & O taxes on sales of its corporate software licenses (see Citizen Microsoft and Microsoft's $528 million Washington tax break ). Although the majority of its software development is performed in Washington State, Microsoft records its estimated $18 billion in licensing revenue per year through a corporate office in Reno, Nevada where there is no licensing tax.


For more information about Microsoft's practices, see previous posts on the subject, including:



More recently we showed that Steve Ballmer is blackmailing Obama to protect this status quo. Until people stand up and demand change, nothing is likely to magically correct itself. This whole taxation game characterises not just Microsoft's finances in the United States but also elsewhere (accounting in Ireland, as outlined in prior posts) and the personal finances of Bill Gates. Microsoft and Gates rely heavily on people's ignorance not only when it comes to technical computing matters.

"My background is finance and accounting. As a socially conscious venture capitalist and philanthropist, I have a very good understanding of wealth management and philanthropy. I started my career in 1967 with the IRS as a specialist in taxation covering many areas of the tax law including the so-called legal loopholes to charitable giving. […] However, the Gates Buffet foundation grant is nothing more than a shell game in which control of assets for both Gates and Buffet remain the same. […] The only difference is that the accumulation of wealth by these two will be much more massive because they will no longer have to pay any taxes."

The Gates and Buffet Foundation Shell Game

Recent Techrights' Posts

Techrights Will Spend the Next Few Years Writing a Lot About Strategic Lawsuits Against Public Participation (SLAPPs)
It's a growing problem
The State of EPO Staff's Health in Rijswijk or The Hague
We're going to cover the EPO some more later in the month
NVIDIA Corp Lost 36% of Its "Value" Since Cheeto Inauguration, But "Gen Hey Hi" (GenAI) is Totally Not a Bubble
Selling loads of unneeded hardware based on hysterical hype; like selling shovels during a Gold Rush
 
Links 05/04/2025: TikTok Unsold (Still), Royal Society is Dead
Links for the day
GNU/Linux Growing in East Asia, Windows by Default No More?
GNU/Linux is now on the shelf
Slopwatch: Anti-Linux 'Articles' From Linux-Hostile LLMs
It is almost always negative things and nobody can be held responsible for it except the charlatans prompting the LLMs
Links 05/04/2025: Fentanylware (TikTok) "Sale Looks Highly Imminent" (US), Stock Market Drowning in Panic
Links for the day
Gemini Links 05/04/2025: Moving Plants, No to Smartwatches, RAID Hygiene
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Friday, April 04, 2025
IRC logs for Friday, April 04, 2025
Techrights Has Dealt With More Potent SLAPPs Than Violent Microsofters Begging to Hide What They Did to Women
I became accustomed to SLAPPs
Links 04/04/2025: Fury in South Korea, Flight MH370 Remains Mystery
Links for the day
Gemini Links 04/04/2025: Anger and Raspberry Pi CM4
Links for the day
Links 04/04/2025: LLM Slop Bubble Bursting and Korea Music Copyright Association Bans Slop 'Music'
Links for the day
Traf-O-Data, the Company That Jeffrey Epstein's BFF (Bill Gates) (Co)Founded 53 Years and Went Out of Business Due to Heavy Losses
Who will die first, Bill or Microsoft?
Why Microsoft's Shares Sank Almost 20% in Recent Months (the Bubble is Imploding)
verified press reports from the past 24 hours
A Note on SimilarWeb
Or why SimilarWeb is meaningless for more than 99% of the sites on the Web
GNU/Linux Rises to Almost 5% in Algeria While Windows Sinks to All-Time Low
GNU/Linux grew tenfold
Where to Get More Gags
A valued reader recommended that to us
Links 04/04/2025: Tech Stock (Inc. GAFAM) Fall, Google Pretends to Do End-to-End Encrypted Emails (With Google in Control)
Links for the day
IBM Said to be Shutting Down Offices or Sites in the United States
the press can no longer avoid admitting that IBM moves many jobs to India
To Participate in Fedora Diversity You Must Use Proprietary Software
Not for the first time either
LLM Slop as Attack Vector on the Reputation of Linux
The attacks on Linux have escalated to information warfare
Yandex About to Be Three Times Bigger Than Microsoft (Bing) in Asia
That's about 60% of the world's population
Gemini Links 04/04/2025: Decoupling Updates, Elaho as Gemini Client
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Thursday, April 03, 2025
IRC logs for Thursday, April 03, 2025
Microsoft's Trouble in Africa and Asia
A new all-time high for GNU/Linux
Brett Wilson LLP Reported to the Solicitors Regulation Authority (SRA)
The saddest thing in all this is that law firms can maintain high standards shall they wish to
Links 03/04/2025: Tariff Pains and C.D.C. Cuts
Links for the day
StatCounter: Microsoft is Masking a Disaster, It's Way Behind DeepSeek Already and Interest in LLMs Has Waned
it turns out the money "raised" for "Open" "AI" may not even exist at all
Links 03/04/2025: SoftBank Money for Microsoft "Open" "AI" Probably Doesn't Even Exist, Wikimedia Foundation Blasts LLM Nuisance While Microsoft Admits Demand Has Shrunk
Links for the day
Gemini Links 03/04/2025: Patch Panel and Pictures
Links for the day
Islamic Republic of Iran: GNU/Linux at All-time High This Month, Windows Falls to 12%
Vista 10 is up this month despite being "end of life" (EoL) soon
Indonesia: All-Time Highs for GNU/Linux
What's noteworthy right now is the growth of GNU/Linux
statCounter Says GNU/Linux Usage is Up Again (Internationally)
some preliminary April data
Only on April 1st Can the Free Software Foundation Associate With Microsoft's Open Source Initiative (OSI)
We saw some pranks that day linking the FSF to Microsoft (e.g. "endorsing" Windows)
Confirmed in the Mainstream Media: A Lot of Microsoft "Workloads" Were Just LLM Slop (Helping to Fake Growth for Years, as Microsoft Had Paid "Open" "AI" to Become a "Client") and Demand is Rapidly Waning, Datacentres Canceled and/or Shut Down
Anything to facilitate further accounting fraud
Taiwan's Media Covers Closure of Microsoft's "AI" Lab, It's Time to Talk About the Gradual Death of Windows and Implosion of the "AI" Bubble
Earlier this week we showed that mostly Asian media had the 'nerve' to mention Microsoft silently shutting down its 'AI' lab
IBM Gets Rid of Kelly Chambliss as Mass Layoffs Reported in IBM Consulting, IBM Loses Key Contracts/Graft
IBM Consulting has been in disarray lately
More Gains for GNU/Linux, Based on Web Surveys
the Steam site shows rapid growth for "Linux" this month
Slopwatch: Anti-Linux Articles, Not Even Written by Humans
Why aren't Web sites more vocal about this problem?
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, April 02, 2025
IRC logs for Wednesday, April 02, 2025
Links 03/04/2025: Apple Fined Over Secret Surveillance, "Elegant Writer For A More Civilized Age"
Links for the day