According to the D.C. AG, MicroStrategy and Saylor conspired in tax evasion by falsely representing Saylor’s primary residence between 2005 and present.
- D.C. is suing Michael Saylor and MicroStrategy
- The complaint claims that the ex-CEO conspired to help the company commit tax evasion.
- This lawsuit seeks more than $25,000,000 in penalties and back-taxes.
According to an announcement by the D.C. Attorney general, MicroStrategy (the largest corporate holder of Bitcoin) and Michael Saylor, its Executive Chairman, are being sued for tax fraud.
According to the complaint, Saylor fraudulently claimed to be a resident in a lower tax jurisdiction but avoided paying income taxes to D.C. The complaint also alleges that MicroStrategy conspired to conceal Saylor's real address from local and federal tax authorities.
The complaint states that Saylor "on information and belief" has avoided more than $25,000,000 in District taxes owed since 2005.
The complaint also recalls events from 1980, when Saylor founded the company. It mentions the relocation of its headquarters in order to avoid tax burdens in 1990's. And his alleged routine use of yachts that he anchored in the Potomac River for many years.
The lawsuit states that defendant Saylor was either a resident or domiciled in the District in every taxable year 2005 to the present.
According to the complaint, Saylor has also posted multiple "disrespectful" posts on Facebook. This supports the claim that Saylor lived in the same area between 2005 and present.
Recent announcements made by Saylor indicated that he would be leaving the CEO role to become Executive Chairman. This was done to allow Saylor to concentrate on the development of bitcoin in the ecosystem and to continue to drive MicroStrategy’s bitcoin acquisition strategy.
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By: Shawn Amick
Title: MicroStrategy And Its Executive Chairman Michael Saylor Are Being Sued For Tax Fraud
Sourced From: bitcoinmagazine.com/legal/microstrategy-and-michael-saylor-sued-for-tax-evasion-in-dc
Published Date: Wed, 31 Aug 2022 19:15:00 GMT
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