Bonum Certa Men Certa

Waggener Edstrom and Microsoft's Government Insider Defend the Company's Reluctance to Pay Tax

"In the fall of 1982, Pam Edstrom [of Waggener Edstrom], a diminutive woman with piercing blue eyes, was recruited by Microsoft. [...] In modern-day business, flacks were responsible not only for avoiding bad press, but for spinning the good. [...] Hanson and Edstrom would spin a whole new image for Gates himself. They would tap the best and worst of Chairman Bill, changing his clothes, his voice, and his allegiances, driving him to become not just the boss, but, essentially, the company mascot—a sort of high-technology Colonel Sanders."

--Pam's daughter



Summary: Microsoft and its PR department are under great pressure, so instead of addressing the issue they just start spinning and lying with press presence and self-serving 'studies' that they fund

MICROSOFT'S bad habits when it comes to paying tax are made increasingly worse as the company not only refuses to pay tax like all citizens do but it also arranges campaigns to hide the problem. Why pay tax when it's so much cheaper to just change perception? We wrote about it last week and this week we see similar responses from other sources, notably from Jeff Reifman, a former Microsoft employee who fights others like Rep. Hunter from Microsoft, who is now helping Microsoft escape tax in Washington. Watch Rep. Hunter as he continues to help his former employer while publicly denying that he does such a thing:



It appears that Rep. Hunter has successfully re-inserted the amnesty clause for Microsoft's thirteen year Nevada tax dodge (earlier, Rep. Santos' amendment had removed this clause for unrelated reasons).
(2) Section 201 of this act does not apply to any tax periods ending before May 1, 2010, that were included in a completed field audit conducted by the department.
Section 201 is the clause that was supposed to help the Dept. of Revenue crack down on these kinds of abusive tax transactions - more on this in a moment.

Interestingly, Rep. Hunter's latest blog post is about Tax Freedom Day. Thanks to Rep. Hunter, April 10th is quickly becoming Tax Freedom Day for Microsoft.


This is the type of thing that happens when Microsoft employees enter the government. It's more or less like legalised corruption. Microsoft Nick was among those who gave this PR routine its intended undeserved coverage [1, 2], but there is more on that rebuttal from Reifman right here. See the comments too.

As we pointed out last week, Microsoft had arranged -- along with its outsourced PR department -- a bunch of fake 'studies' and press events to spin what it's doing in Washington. Reifman responds:

Last week, Microsoft's PR firm, Waggener Edstrom, invited local reporters to a press conference with Microsoft General Counsel and possible architect of its Nevada tax dodge, Brad Smith, to discuss an update to a Microsoft-funded University of Washington study on Microsoft's overwhelming economic impact on our state.

[...]

The only problem with Microsoft's WagEd press conference is if you actually pay any attention to the illogic of Mr. Smith's message. For example, quoting from TechFlash:

* "It absolutely remains the case that Washington state is Microsoft's home." - unless of course we're reporting the revenue received from our $20.7 billion annual licensing business, the home for that business is in Nevada.

* "If you'd ask what is more at play in the future, it's more a question of whether the jobs that Microsoft is able to add will be added in Washington state, another state, or outside the United States. The big issues playing into that decision include the company's ability to secure visas for foreign workers, quality of life (including education, transportation and cultural life) and the cost of doing business"

In other words, in order for Microsoft to add more jobs in Washington State, it needs to secure more visas for foreign workers.


Brad Smith is part of the tax fiasco [1, 2, 3], yet here he is along with Waggener Edstrom just lying to trick the public for PR purposes. Microsoft's Tax Dodge has an audio track now. Their problem is not going away.

It is going to get even worse. Based on this new post, Microsoft will consciously expand its influence in the United States government by inreasing/pacing up lobbyists in Olympia:

It would be naive to say Microsoft hasn't had plenty of influence on Washington politics through lobbyists in Olympia. But the state's second-largest private employer plans to be more publicly vocal about issues its leadership thinks are important, an executive said.


Microsoft is already funding more 'studies' in the University of Washington (that's where the tax dodge was justified, by paying academics) that are to have an impact on the press, which asks no questions about Microsoft's known bias.

According to a new University of Washington study funded by the Bill and Melinda Gates Foundation, California's pregnancy-related death rate (19 per 100,000 in 2008) is higher than the national average (17 per 100,000). It's double that of Canada and most Western European nations, and it's worse than Bosnia, Serbia, Poland and Qatar.


Here is another new example of self-serving 'studies' but one that we'll expand on later.

The school counseling world experienced a bit of a shakeup recently when a report entitled "Can I get a Little Advice Here?" was released by the Public Agenda (www.publicagenda.org) for the Bill & Melinda Gates Foundation.

[...]

Unfortunately, the Gates Foundation report did not discuss some of these barriers and why it might be that a counselor did not have time to provide the services the students who were surveyed were seeking. No recommendations were given as to how to change these trends nor did the report highlight how in some schools, with proper support and staffing, school counselors indeed make a difference in the lives of their students. Hopefully, that's the next report to be released on behalf of the Gates Foundation.


Same here:

In a recent poll conducted by Microsoft, 56% of the teens questioned think the Web allows bullies to prosper, while 67% say they spend most of their time using Facebook and MySpace.


A poll conducted by Microsoft is simply not reliable.

Here is another last finding. Just like Rep. Hunter acts as Microsoft's guardian in Washington's government, Gary Gigot does his service through another policy-making move from Microsoft veterans. See the following short new report:

Washington's Governor "joined us" on stage for a role-playing exercise. And with the help of a prototype Time Machine, we explored several opportunities for businesses, researchers and policymakers to create a prosperous future in clean energy.

[...]

Panelist Gary Gigot is Chief Marketing Officer at Optimum Energy. His company reduces energy use in the air-conditioning systems of large, commercial office buildings.

Forthrightness compels me to add that Optimum Energy is a past client. I was the company's interim VP of marketing in 2007, up until Gigot was recruited as CMO. Gigot brings his prior experience in marketing at Microsoft and, prior to that, Visio.


With the prior role as a Microsoft marketer, can he be trusted to be unbiased?

Comments

Recent Techrights' Posts

The Two Lies Microsoft is Telling in "the News" This Week (to Distract From Layoffs and Decreased Interest in Slop/Chaff)
Microsoft is run by liars and frauds who SLAPP critics
Tux Machines Already Destroyed SLAPPs
Attacks on the mere publication of GNU/Linux news won't be tolerated
Always Check Your Inputs
Garbage in, garbage out. Or wrong assumptions, wrong corollary.
 
Our Lawsuits Against the 'Cancel Mob' (Ringleaders) Helped Reduce Anti-Free Software Online Abuse
That's not to say that lawsuits are the best way to handle terrible people. But that can help.
Tomorrow is the Last Day of the Fund-Raising Campaign of the Free Software Foundation (FSF)
They will probably extend the date, as usual
Fixing Patents in Europe, Little by Little (by Transparency and Reporting of Suppressed Facts)
Tomorrow and throughout the weekend we shall focus some more on the EPO
PCLinuxOS is Available for Download Again
PCLinuxOS is important to us also because its founder, back then the partner of Susan, helped create Tux Machines more than 21 years ago
Links 10/07/2025: Microsoft E-mail 'Services' Collapse Again, "Yet Another Strava Privacy Leak"
Links for the day
Gemini Links 10/07/2025: Automating Git Repo Updates and Small Web 'Zine'
Links for the day
GNU/Linux Leftovers
mostly Linux stuff
Audiocasts/Shows: Going Linux, FLOSS Weekly, and RHEL Clones
3 new picks
We Are Already Fighting - With Considerable Success - SLAPPs in the UK
we intend to tell the full story
Bullies With Pens and Papers (or Apple Macs With Templates)
Not all barristers are evil, but there are perhaps "rotten apples"
Slopwatch: webpronews.com, linuxsecurity.com, linuxjournal.com
a pile of trash disguised as 'articles'
Links 10/07/2025: Linda Yaccarino Divorces MElonazi Site, Wildfires Hit Syria
Links for the day
The History and the Policy of the EPO's Stance on Breastfeeding (Corporate Monopolies Versus Babies' Health)
"The Case for Introducing a Breastfeeding Policy at the EPO"
Gemini Links 10/07/2025: Inventing Chords and "Nightmare Boss"
Links for the day
Igor Ljubuncic Once Again Shows That for Technical Reasons Wayland Still Sucks, Performs Considerably Worse Than What Existed for Decades
That is aside from compatibility factors and other crucial factors
Links 10/07/2025: "Apple Vs The Law" and Twitter Became Full Nazi Bar
Links for the day
Unable to Find Anyone to Work as Their Media Lawyer, Brett Wilson LLP Will Continue Losing Female Staff
What sort of sick person would wish to join Brett Wilson LLP to carry this baton?
Microsoft-Sponsored Propaganda Site Has Removed False 'Hit Piece' About Dr. Stallman (With Fake and Misrepresented Imagery) But Only After 4 Years
So they only removed that page some time around 2025, i.e. about 4 years after it had been published
Dan Neidle Said That Tax Evasion Facilitator Mr Zahawi (Working to Silence Bloggers Through Brett Wilson LLP) Targeted Not Only Him (But The Others Kept Quiet)
"Mr Neidle said after repelling Mr Zahawi he was contacted by bloggers and tweeters who had received similar threats. They deleted their work “and in most cases never commented publicly on anything again”."
SLAPP Funding Transparency Urgently Needed in the UK and Elsewhere (in Practice, Not Just in Theory)
Writing about crime - including Microsoft crime - is not a crime
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, July 09, 2025
IRC logs for Wednesday, July 09, 2025
Elodie Bergot Still Doing Illegal Things at the EPO, Based on the Local Staff Committee Munich
They keep taking away from the staff while compelling the staff to do illegal things
Gemini Links 09/07/2025: Extreme Testing and Golang Documentation in Geminispace
Links for the day
Vice President of the European Patent Office (EPO) Complains That Techrights Gives Visibility to Legal and Technical Issues at the EPO
"Follow-up on enquiries relating to Dir. 1218 and 1001"
Slopwatch: linuxsecurity.com and Various Slopfarms That Lie About "Linux" and Are Promoted by Google News
Google does not seem interested in tackling this problem
Links 09/07/2025: War Updates and Microsoft Moving to India to Cut Costs
Links for the day
GNU/Linux Was Always a 'Movement' of Inclusion of Tolerance
Even the licences themselves remove access barriers
Links 09/07/2025: "Subprime AI Crisis" and "OpenAI May Be in Major Trouble Financially"
Links for the day
Huge Piles of Legal Papers ('Paper DDoS') Do Not Impress Judges and Regulators
they just make judges and regulators even more suspicious of the eagerness to resort to 'paper DDoS'
Brett Wilson LLP Sent Over 5 Kilograms (or Over 12 Pounds) of Legal Papers! Because Writing About Microsoft Abuses is 'Illegal'.
How do you guys sleep at night? On a big pile of Microsoft money?
Extremism as a Weapon Against GNU/Linux (Microsoft Lunduke)
He ought to know the Halloween Documents. Wasn't he a Microsoft employee when these came out?
Lunduke Isn't Even Hiding His Anti-Linux Agenda (From "Linux Sucks" to "Linux is Pedophiles")
just trying to make a lot of trouble
Some People Use Computers to Get Actual Work Done
Tolerance and inclusion must extend to acceptance that some people don't agree with you, might never agree with you, and imposing what allegedly works for you on them is unreasonable
Example of "Old" Things That Still Work
The notion that something being "old" implies it must be discarded is typically advanced by those looking to sell more of something
Some Scheduled Maintenance Later Today
Typically the most vulnerable service during short interruptions is IRC
Computers Are Just a Tool
People don't get married because they love weddings, folks don't join the army because they love war, and most drivers don't drive to work because they love cars
Apple Way Past Its Prime
Apple deserves a decline
The FSF's SysOps Team Recovered From Serious Hardware Issue Within Hours
About half a day ago I noticed that all/most GNU/FSF sites were not reachable and thus reached out to a contact for any details
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Tuesday, July 08, 2025
IRC logs for Tuesday, July 08, 2025
Slopwatch: Turning Bugs Into FUD About "Linux", Getting Basic Facts Wrong
all the screenshots are of fake articles; we don't want to link to any
Technical Reasons, Not Politics: With Wayland "it feels a lot like Linux from 20-25 years ago, which is horrendously frustrating, because it feels like we wasted one or two decades of progress and stability"
Lately, quite a few benchmarks were published to show Wayland compares poorly compared to what we had
PCLinuxOS Recovering From Fire
It looks like a nightmare scenario, where even backups onsite get destroyed
Links 09/07/2025: More Heatwaves, Officials Culled in Russia
Links for the day
Gemini Links 09/07/2025: XScreensaver and Resurrection
Links for the day
Links 08/07/2025: "Cyberattack Deals Blow to Russian Firmware" and "Cash Remains King"
Links for the day
FSF40 T-shirt message
by Alex Oliva
Gemini Links 08/07/2025: Creativity, Gotify with NUT Server, and Sudo Bugs
Links for the day
More on "Lunduke is Actually Sending His Audience to Attack People"
"pepe the frogs"
Links 08/07/2025: Sabotage of Networking Infrastructure, Microsoft XBox Game Pass Deemed “Unsustainable”
Links for the day
Dalai Lama Succession as Evidence That Determined, Motivated People Can Reach Their Nineties
And we need to quit talking about their death all the time
Many Lawyers (for Microsoft) and 1,316 Pages to Pick on a Litigant in Person Who Exposed Serious Microsoft Abuses
Answers must be given
Gemini Links 08/07/2025: Ancillary Justice and Small Web July
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Monday, July 07, 2025
IRC logs for Monday, July 07, 2025